Bitcoin Falls to $80.1K as KOSPI Closes at Lowest Level Since April

Bitcoin prices continued to show the spillover of South Korean tech selling after the KOSPI index plunged 7.5% on Thursday.

After the KOSPI fell 7.5% on Thursday, Bitcoin's price action continued to see the spread of the Korean tech sell-off.

Bitcoin (BTC) fell to its lowest level in more than three weeks on Thursday as cryptocurrencies posted fresh losses on South Korean stock markets.

Bitcoin/USD on Bitstamp reached $80,154, a level last seen on September 20, TradingView data shows.

BTC/USD 1-day chart. Source: Cointelegraph/TradingView

The weakness came after South Korea's Composite Stock Price Index, or KOSPI, ended the day down 7.5 percent, bringing its week-to-date loss to 15.5 percent.

One-day chart of KOSPI composite index. Source: Cointelegraph/TradingView

Like earlier in the week, tech giants suffered the biggest sell-off, with SK Hynix down 11% and Samsung Electronics ending the day down 9.5%.

Daily chart of SK Hynix stock. Source: Cointelegraph/TradingView

As Cointelegraph reported, concerns about AI debt obligations, foreign capital outflows and competition from China contributed to the South Korean market's fall, with the KOSPI's 200-day moving average falling to 5,450, a level not seen since late July. It ended Thursday's trade at 5,554 units, its lowest daily close since April 8.

Speaking to local media outlet Korea Herald, Kim Seok-hwan, an analyst at Mirae Asset, warned that global macro headwinds will create more friction in the future.

"Volatility is expected to continue in the short term," he said. “As domestic supply and demand conditions worsen, the market has become more sensitive to external risks, while a short-term recovery in the global environment appears unlikely.

SK Hynix and Samsung will release third-quarter earnings data on Oct. 28 and 29, respectively, potentially adding to bearish swings in tech investor sentiment if the numbers fall short of forecasts. Samsung is expected to confirm third-quarter sales of 195 trillion won ($145 billion) and operating profit of around 107 trillion won ($80 billion).

Bearish pressure on Bitcoin intensified on Wednesday in the US due to higher-than-expected inflation data.

The September edition of the Consumer Price Index (CPI) came in at 3.7 percent year-on-year, sparking market expectations for further interest rate hikes by the Federal Reserve.

"Do Beatings Cause More Walks - Or Does Credit Stress Cause Policy Reassessments?" trading firm QCP Capital asked alongside its macro analysis seen by Cointelegraph on Thursday.

Both WTI and Brent crudes fell on Thursday amid rising tensions in the Middle East, with higher oil prices accounting for a significant portion of the gains in oil prices. A Singapore-registered oil tanker sank in the Strait of Hormuz on Wednesday, in what the Maritime and Port Authority of Singapore described as "unjustifiable".

Speaking to CNBC, Firas Bechovati, head of business development at the online trading platform ICM, saw little chance for Hormuz transit volume to return to the level it was before the start of the Iran-US war.

"At the same time, Saudi crude continues to reach international buyers through alternative routes, while the rapid release of emergency reserves by members of the International Energy Agency provides an additional buffer and prevents prices from rising sharply, even as tensions rise," he continued.

At the time of writing, WTI was trading below $95 a barrel, down 0.5 percent, while Brent was down 2.2 percent at $103.7 a barrel.