LUNA -10.7% in 24 Hours Amid Network Upgrade and Legal Developments

On DEC 17 2025, LUNA dropped by 10.7% within 24 hours to reach $0.1176, LUNA dropped by 35.84% within 7 days, rose by 61.91% within 1 month, and dropped by 71.81% within 1 year.

Network Upgrade Preparations by Binance

Binance announced it will temporarily suspend deposits and withdrawals for Terra Classic (LUNC) on December 18, 2025, to support a planned network upgrade. The upgrade is scheduled to occur at block height 26,479,000, expected around 23:10 UTC+8 on the same day. This development coincides with LUNA’s sharp price decline, reflecting ongoing uncertainty around the token’s future utility and ecosystem activity.

Legal Developments and Market Sentiment

The Terra ecosystem founder, Do Kwon, remains in legal limbo following a 15-year prison sentence in the U.S. for fraud and money laundering related to the collapse of the UST stablecoin and LUNA token. South Korean authorities have indicated they may pursue an additional criminal trial against Kwon if he is extradited after serving part of his U.S. sentence. Potential additional charges under the Capital Markets Act could result in further incarceration unrelated to the U.S. conviction.

Market participants remain divided on how these developments will impact LUNA. While some view the legal drama as a risk, others see it as an opportunity for speculative trading, particularly among retail investors. Analysts have noted that such market reactions are common in the crypto space, where sentiment can shift rapidly in response to regulatory or legal news.

Price Volatility Amid Sentiment Swings

LUNA’s 10.7% decline in a 24-hour window highlights the token’s continued volatility despite a broader market context. The 35.84% drop over the past week underscores investor uncertainty, particularly in light of the ongoing legal challenges facing the Terra ecosystem. However, a 61.91% increase over the past month suggests that some traders remain bullish, possibly in anticipation of the network upgrade or speculative trading behavior.

The broader context—LUNA’s 71.81% drop over the past year—demonstrates the token’s long-term struggle to regain the trust of the broader crypto community, even as its technical team continues to push forward with development initiatives.

Future Outlook and Analyst Perspectives

Analysts project that the success of the Terra Classic network upgrade will play a crucial role in determining LUNA’s future value. A smooth implementation could restore some credibility to the project, though it remains to be seen whether this will translate into sustained price gains.

Some observers also speculate that the legal proceedings against Do Kwon may influence the regulatory landscape for Terra’s future iterations. If the U.S. or South Korean authorities impose additional restrictions, the project may face further hurdles in attracting institutional or retail investment.

At this stage, the market appears to be reacting to a mix of technical developments and legal uncertainty. Investors are advised to monitor both the progress of the network upgrade and any new legal updates involving key Terra figures.