The LUNC price is witnessing a parabolic rally today even as the crypto market declines, led by Bitcoin. This price surge comes after an incident at the Binance Blockchain Week, which drew attention to the altcoin, while the rally comes ahead of founder Do Kwon’s sentencing.
Why Is The LUNC Price Up Today?
CoinMarketCap data shows that the altcoin is up almost 80% today, rallying from an intraday low of around $0.0000403 to an intraday high of around $0.00007314. The token has also reached a market cap of almost $400 million in the process.
Source: CoinMarketCap; LUNC Daily ChartNotably, the Terra Classic price is also up 160% in the last week, rising from around $0.00002767. Commenting on the LUNC price surge, market expert Evan Luthra noted in an X post that a clip of CoinDesk’s Ian Allison wearing an old LUNA t-shirt blew up during the Binance Blockchain Week. He added that this alone brought fresh attention to the altcoin’s ecosystem.
Luthra also stated that at the same time, people are talking more about Do Kwon’s U.S. sentencing on December 11, following his fraud guilty plea. As such, the altcoin may also be pumping as the legal saga nears an end.
As CoinGape reported, the Terra co-founder faces up to 12 years in prison, with the U.S. prosecutors arguing that he played a “colossal” role in the $40 billion collapse of TerraUSD, which also impacted the LUNC price back then. However, Do Kwon’s lawyers are seeking a five-year sentence for their client after his guilty plea.
Expert Calls For Caution
In an X post, market commentator Brian Rose stated that the recent spike in the LUNC price, along with LUNA and USTC, should be viewed with caution, especially given the crypto market’s thin liquidity. As such, he further remarked that this move could simply be a short-term reaction to the Do Kwon legal news rather than a genuine demand.
Rose also noted that LUNC’s price rally, happening without meaningful liquidity on Ethereum, doesn’t yet qualify as a true decoupling. He claimed that for that to happen, the rally would need to hold for at least 48 hours without a sharp pullback.
Meanwhile, the market commentator stated that what is even more concerning is that the current activity in the LUNC price looks more like exchange bots shuffling orders rather than actual liquidity-driven buying. He advised market participants to keep a level head for now and observe how this plays out.
Source: https://coingape.com/why-is-the-lunc-price-up-70-despite-the-crypto-markets-decline/
