- Terraform Labs and Do Kwon have reached a tentative settlement with the U.S. SEC, causing a significant surge in LUNC and USTC open interests.
- Within hours of the settlement announcement, LUNC and USTC prices skyrocketed by 15%.
- Analysts predict that LUNC prices could rally by 60%, reaching the $0.0002 mark once again.
Discover the latest developments in the Terra ecosystem as LUNC and USTC prices soar following a tentative settlement with the SEC. Analysts predict a significant rally ahead.
LUNC Price Set for 60% Rally
Following the tentative settlement between Terraform Labs (TFL) and Do Kwon with the U.S. Securities and Exchange Commission (SEC) over fraud charges, the Terra ecosystem tokens have experienced a remarkable price rally. The agreement comes after a jury found Kwon and his company liable for deceiving investors out of nearly $40 billion.
U.S. District Judge Jed Rakoff has mandated that the SEC and the defendants submit supporting documents for the settlement by June 12. The SEC is seeking $5.3 billion in ill-gotten gains from the sales of the stablecoin, along with a $420 million fine on the company and a $100 million fine for Kwon.
As a result, Terra (LUNA) prices surged by 30% within an hour and are currently trading 16% higher at $0.70, bolstered by a 450% increase in trading volumes over the past 24 hours.
Impact on LUNC and USTC Prices
The Terra Classic ecosystem tokens, LUNC and USTC, have also seen significant price movements due to the settlement. LUNC is trading 9% higher at $0.0001240, with a 24-hour high of $0.000131. The trading volume has surged by over 150% in the last 24 hours, indicating strong interest among traders.
According to Coinglass data, LUNC and 1000LUNC futures open interests have jumped by 20% in the last 24 hours, with Binance open interest alone rising by over 23%. This suggests substantial buying activity by derivatives traders.
Analyst Javon Marks noted on X that LUNC is “setting new post-breakout highs in a run that may only be in extremely early stages!” He forecasts a 63% move to $0.00021439 due to the breakout.
USTC Prices Set to Breakout
Meanwhile, USTC prices have also jumped by 8%, with the current trading price at $0.02419. The 24-hour low and high are $0.02152 and $0.02694, respectively. Additionally, the trading volume has increased by more than 200% in the last 24 hours.
On the derivatives trading front, total USTC futures open interest has risen by 15% in the last 24 hours, with Huobi seeing a 25% increase in USTC futures open interest within an hour.
Conclusion
The tentative settlement between Terraform Labs and Do Kwon with the SEC has triggered significant price rallies for LUNC and USTC. With analysts predicting further gains, the Terra ecosystem is poised for a potential breakout. Investors should closely monitor these developments as the market reacts to the ongoing legal proceedings and their implications for the future of Terra’s tokens.
