According to external sources, during the year the risk preferences driven by AI are cooling down and this change has been reflected in the Korean stock market. As one of the important beneficiary markets for AI this year, the Korean Kospi index has fallen by almost 25 per cent over the past four weeks, and the risk pricing given by the options market has risen significantly.
Kospi implied a higher volatility than bitcoin
Data from Bloomberg and Volmex show that Kospi ' s 30-day options implied fluctuations have increased to 81 per cent annually, while Bitcoin ' s BVIV is about 38 per cent. Implied volatility usually reflects the costs that investors are willing to pay to hedge price fluctuations, and the higher the value, the greater the market's concern about subsequent fluctuations.
According to the article, this means that the right traders now regard Korea ' s benchmark equity as at least more dangerous than a bit bitcoin. This comparison is rather rare for bitcoin, which has always been labelled “high volatilities”.
Leverage trade magnifies the Korean stock shock.
It was mentioned that the Korean diaspora had previously pursued AI concept unit returns through a large amount of bond trading and leverage ETF, and that, as the market retreated, forced silo sizes had accumulated over $2 trillion in less than three months. According to the article, the high-risk transactions driven by the boom in AI are leading to more severe short-term fluctuations in traditional stock markets than encrypted assets.
However, in a broader horizontal comparison, Bitcoin did not really enter the low-volatile asset zone. The current index VIX for the 30-day volatility index of the standard 500 is still below 20%, and is significantly below the BVIV level of bitcoin.
Bitcoin is still being suppressed by the geology.
In terms of prices, bitcoin is still at the bottom of the 50-day average and the overall trend is weak. According to the article, the tense situation in the Middle East continues to suppress the risk preferences of the encrypted market.
The chain data company Nansen gives a relatively mild signal. According to the Agency, the first-acting and larger-scale wallets were traded at the time of the escalation of the geo-conflicts and the transfer of funds to stable currency was not evident. According to Lai Sondergaard, a Nánsen research analyst, who issued N tokens, this was similar to the performance of the previous disturbances in the situation in the Middle East, with many short-line high-leverages being removed and then the market resumed.
The Washington hearing is under review.
In addition to price volatility, the market is also following regulatory developments in Washington, D.C., United States. Marex Analyst stated that Clarity Act might face critical testing that day and that the industry hoped that the bill would move forward before the August recess, but that the Trump conflict of interest clause and the new resistance of the Senate could slow the process.
The article argues that, if the relevant legislation moves forward, it may provide a clearer regulatory expectation for institutional funding, which is another line of current concern for some market participants.