KAIA jumped 20% in 24 hours amid South Korea’s proposal to regulate stablecoins and digital assets.
The Klaytn-Finschia merger positioned KAIA as a bet on regional infrastructure growth and regulatory clarity.
Kaia [KAIA], the native token of the merged Klaytn-Finschia network, surged over 20% in the past 24 hours.
The price jump coincided with the introduction of South Korea’s new bill regulating stablecoins—a move that appears to have sparked renewed optimism in the region’s digital asset space.
Naturally, KAIA, born out of a merger between two major South Korean chains, stands to benefit from this regulatory clarity.
The token’s rally may reflect market anticipation around growing adoption and infrastructure support under the new framework.
Big wallets pause, but big players still play
Surprisingly, while KAIA prices have skyrocketed, significant on-chain metrics have not triggered bull alerts yet.
Stablecoin whale accumulation had been increasing progressively until halfway through May, which was a sign that whales were buying up early.
However, the trend has since then decelerated, with current whale orders falling off.
Source: CryptoQuant
Having said that, broader institutional appetite appears intact.
Open Interest on Binance reached new highs as KAIA’s rally gained momentum. This signals that deep-pocketed players may still be positioning behind the scenes, even as whale spot activity shows hesitation.
Institutional trading appears to be steering the stablecoin market, according to current order flow and sentiment metrics.
Source: CoinGlass
Moreover, KAIA’s unique positioning as the output of the Klaytn-Finschia chain merger reinforces its long-term viability.
The merger aimed to improve scalability and cross-chain operability, both major concerns for L1 projects.
What does the future hold for KAIA?
In the short term, fading whale momentum could cap gains unless fresh spot demand returns.
But the broader picture suggests structural support: Institutional positioning, network upgrades, and a regulatory tailwind may all converge to sustain momentum.
Unless market structure shifts or external risk events interfere, KAIA appears set for more upside, at least until the narrative burns out or gets priced in.
Next: 90% chance for Solana ETFs in 2025 – Is it time to buy SOL now?
