Luna Classic Price Rises Ahead of Do Kwon’s Sentencing Hearing
Luna Classic (LUNC) price increased by nearly 20% on Friday. This rise comes one week before founder Do Kwon’s sentencing hearing. Kwon faces charges related to the $40 billion Terra collapse fraud. A large token burn in December has reduced available supply. So far, over 959 billion LUNC tokens have been burned this month. This has boosted demand for LUNC. The technical outlook remains strong but the sentencing hearing could create risks for investors.
Token Burns and Do Kwon’s Upcoming Sentencing
Do Kwon’s sentencing hearing is set for December 11. Judge Engelmayer will oversee the case after Kwon pleaded guilty in August. His charges include commodities fraud, securities fraud, and wire fraud. US prosecutors have agreed not to seek more than 12 years in prison. However, South Korean prosecutors may seek a 40-year sentence.
The recent surge in LUNC demand could be a bull trap. Large token burns have inflated LUNC’s value by reducing supply. According to Luncmetrics, 959 million LUNC tokens have been burned this December, with 182 million burned on Friday alone.
Luna Classic Faces Resistance After Price Rebound
Luna Classic shows a potential bullish pattern on the daily chart. The price faces resistance near the $0.000039 level, called the R1 Pivot Point. If LUNC breaks this level, it could next target the R2 Pivot Point at $0.000051. This would put LUNC near the $0.00005 psychological mark.
Momentum indicators support bullish momentum. The Relative Strength Index (RSI) is at 66, moving toward being overbought. The RSI also shows bullish divergence from late November to early December. The Moving Average Convergence Divergence (MACD) rises above its signal line with increasing green bars. This signals growing buying pressure.
If LUNC falls below the center Pivot Point at $0.000032, it might retest the low near $0.000025 set on December 1.
