One thing is assured, if it's a korean news it is guaranteed to affect the market whether it is negative or positive.
Which I've always struggled to wrap my head around. Korea is a closed market. No money can get in or out. In theory it should have much less effect than heaviness in other markets as other markets do cross pollinate.
I guess people are looking for reasons to panic these days.
And how did South Korea let these exchanges arrive out of nowhere and operate in total impunity without any tax or oversight? What kind of amateur hour government permits something like that to happen?
I wouldn't be surprised if they cause this too much roller coaster thing on crypto prices.
The fact is South Korea is still the third biggest market in the world for bitcoin trades. Open market or not doesn't matter, the effect is well describe on events like this.