Haciyev Reşit 
Tokens belonging to the Terra ecosystem have seen a notable surge over the past two days. After U.S. prosecutors demanded at least 12 years in prison for Do Kwon the architect of the $40 billion Terra collapse—prices of USTC, LUNC, and LUNA jumped sharply. USTC has risen nearly 100% in two days, while LUNC has surged almost 3x. As the market searches for the reason behind this move, the rally was triggered by news coming from the United States.
Official Sentencing Request for Do Kwon: At Least 12 Years
The legal process surrounding Terraform Labs founder Do Kwon has reached a new phase. U.S. prosecutors announced that they are seeking at least a 12-year prison sentence for Kwon. They argued that the massive financial losses caused by Kwon harmed not only individual investors but also shook the entire market, and therefore a severe sentence is necessary.
Kwon’s legal team requested a 5-year sentence, arguing for a lighter ruling. Prosecutors rejected the request, emphasizing that the Terra collapse is comparable in scale to major financial crimes involving Sam Bankman-Fried (SBF) and Alex Mashinsky. In theory, Kwon could receive up to 25 years in federal prison, but under the plea arrangement, prosecutors are seeking no more than 12 years.
Major Price Spike in LUNC
Luna Classic (LUNC) has seen a renewed wave of interest as Kwon’s sentencing approaches, triggering a strong upward move. Today, LUNC is trading at $0.00005268, marking a sharp recovery over recent days. Accumulation at bottom levels and rising buy pressure pushed the price sharply upward in a short period.
LUNC’s move suggests improving sentiment both technically and psychologically. A strong rebound from the lows indicates that investors are willing to take on risk again, with demand rising rapidly due to the news cycle.
Current data:
- Price: $0.00005268
- 24-hour change: ~20% increase
- Last 4 days: clear upward trend
- Chart: A sharp rally starting with a large green candle, followed by volatile consolidation
High-volume buying activity has been observed in recent days. Although volatility remains elevated after the surge, the overall direction is upward.
Token Burns Keep Supporting LUNC Demand
Burn activity in December continues to support LUNC’s price action. A total of 959 million LUNC has reportedly been burned this month. On Friday alone, 182 million LUNC was burned. The reduction in circulating supply contributes to upward price pressure. These burns, combined with speculation surrounding the Do Kwon case, have strengthened demand for LUNC.
Technical Outlook: Key Resistance Levels and Possible Scenarios
On the daily logarithmic chart, LUNC shows strong recovery, approaching several key levels:
- First major resistance: $0.00003914 (previous R1 pivot) – price is currently above this
- New target zone: $0.00005000 – $0.00005107 – currently being tested
- RSI: 66, approaching overbought zone
- MACD: indicates continuation of bullish momentum
Today’s price at $0.00005268 suggests LUNC may be entering a new breakout scenario.
Is There a Bull Trap Risk?
Given the high uncertainty around the legal case, analysts warn that the recent rally in LUNC and other Terra tokens may be largely speculative in the short term. The sharp move appears to be driven mostly by expectation pricing, not by fundamental improvements. As the December 11 sentencing date approaches, investor behavior may become more aggressive, leading to sharp up-and-down price swings. Fragile market sentiment increases the likelihood of sudden pullbacks after rapid gains. Analysts caution that such environments often produce bull traps, and traders should act carefully.
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