Terraform Labs founder Do Kwon may plead guilty in a U.S. criminal case linked to the collapse of the $40 billion Terra ecosystem. This statement is based on sources not confirmed officially.
Do Kwon's Legal Troubles
Sources reported that discussions are ongoing between U.S. prosecutors and Kwon’s legal team regarding a possible plea deal, though terms are yet to be finalized. Since his extradition from Montenegro, where he was detained in March 2023, Kwon has been in U.S. custody. He faces charges of fraud and securities violations related to TerraUSD, the algorithmic stablecoin whose collapse triggered a market-wide selloff in May 2022.
Current Situation on LUNA and LUNC Prices
Due to significant legal pressure, investor sentiment remains muted, with both LUNA and LUNC trading at critical technical levels. Price investigations indicate that both cryptocurrencies are under the influence of recent news concerning the legal case against Kwon.
Technical Analysis of LUNA and LUNC
Currently, LUNA is trading at $0.1602, just above the 20-day moving average of $0.1612 but below resistance at $0.1761. The relative strength index (RSI) is at 44.75, indicating neutral momentum. LUNC is currently priced at $0.00006116, just below resistance at $0.00006464, with an RSI of 46.37 suggesting a potential recovery.
The ongoing events surrounding Do Kwon and Terraform Labs continue to impact the cryptocurrency market and investor sentiment, with many awaiting further news regarding a potential guilty plea.
