Terra Luna Classic (LUNC) price went vertical on Monday even as Do Kwon’s legal turmoil continued. The coin surged to a high of $0.00030, which was the highest level since Friday last week. It also surged by more than 55% from its lowest level on Sunday.
Interpol issues red notice
Terra Luna Classic made a sharp turnaround on Monday after it crashed to the lowest level since August. This rebound happened even as the crisis surrounding the coin’s founder, Do Kwon continued.
On Monday, South Korea said that Interpol had requested law enforcement officers to search and arrest the fugutive. As a result, Interpol issued a Red Notice for Kwon. A red notice is a legal term that means that he can be arrested by any Interpol officer.
Kwon and five other people have been accused of several crimes, including breaches of capital markets law. After moving to Singapore recently, law enforcement officers there said that he was no longer in the country.
In addition to these crimes, South Korea has accused Kwon of not cooperating with law enforcement officers. In a statement on Twitter, Kwon reiterated that he was cooperating with officials in different jurisdictions. He also said that he was not on the tun.
It is unclear why Terra Luna Classic, Terra Luna, and other coins like Anchor Protocol went parabolic on Monday. A possible reason is that this is a pump and dump scheme as focus shifted to Terra and its ecosystem. In the past few weeks, we have seen many struggling cryptocurrencies like Voyager Digital and Celsius spike.
Still, Do Kwon has some defenders who believe that he did nothing wrong. They believe that punishing him will be a big mistake since it will be like prosecuting innovation. Still, they argue that Kwon should collaborate with prosecutors.
Terra Luna Classic price prediction
The four-hour chart shows that the LUNC price crashed to a low of $0.00017, which was the lowest level since August 31st. It then went parabolic as investors bought the dip and as a pump and dump scheme happened.
As it rose, the coin jumped above the 25-day and 50-day moving averages while the MACD remains below the neutral level. It also formed a doji pattern. Therefore, there is a likelihood that the coin will resume the bearish trend in the coming days as the pumping fades.