LUNA +96.17% 7D: Rally Driven by SBF Pardon Speculation

On DEC 6 2025, LUNA dropped by 0.45% within 24 hours to reach $0.1353, LUNA rose by 96.17% within 7 days, rose by 84.49% within 1 month, and dropped by 67.88% within 1 year.

LUNA’s Sharp Weekly Rally Amid SBF Pardon Rumors

LUNA, the native token of the Terra 2.0 blockchain, has surged by nearly 96% in the past week, marking a significant reversal in a market still reeling from its one-year 67.88% decline. The recent upward movement coincides with growing speculation surrounding a potential legal resolution for Sam Bankman-Fried (SBF), the founder of now-defunct crypto exchange FTX. Though no official statements have been made, market participants are interpreting recent developments as signs that SBF may receive a reduced sentence or even a presidential pardon.

This speculation is fueling optimism among crypto investors, particularly in the Terra ecosystem, where renewed interest is evident in both LUNA and LUNC (Luna Classic). LUNA’s rise to $0.1353, despite a 24-hour decline of 0.45%, reflects a broader trend of stabilization and cautious optimism after a year of heavy losses.

Terra 2.0 vs. Terra Classic: Different Paths, Similar Symbols

The rally in LUNA is distinct from the performance of LUNC (Luna Classic), the token of the Terra Classic chain. LUNC has surged 70.3% in the last 24 hours, with a market cap of $342 million, while LUNA now trades at a $131 million market cap. This divergence highlights the dual legacy of the Terra ecosystem: LUNC represents the original chain that collapsed in 2022, while LUNA symbolizes the rebuilt chain under the Terra 2.0 framework.

LUNA was reissued via a community-led initiative following the May 2022 crash, a move intended to separate the new chain from the old. The 2022 collapse of the UST stablecoin and its linked token, LUNA, led to a near-total loss of value, with the token dropping from $80 to near zero, wiping out $45 billion in market value. SBF and his firm, Alameda Research, were implicated in the events that led to the collapse.

Market Sentiment and Legal Uncertainty

The potential pardon for SBF remains a speculative factor, with no confirmed legal developments to date. Analysts project that any positive resolution for SBF could ease broader market anxiety and potentially attract new capital into the crypto space. The Terra community, however, is keenly aware that LUNA’s future remains tied to its technical and governance performance, not just external legal events.

As of now, LUNA’s one-year loss remains stark at over two-thirds, underscoring the long road to recovery. Investors are closely monitoring the token’s ability to sustain its recent momentum amid a mixed macroeconomic backdrop and ongoing regulatory scrutiny in the crypto sector.

Conclusion

LUNA’s 96.17% rise in the past week marks a notable short-term rebound, driven primarily by speculation around SBF’s legal situation. While the token continues to trade at a fraction of its pre-2022 value, the recent rally suggests a renewed willingness among investors to bet on Terra 2.0’s long-term viability. With market sentiment shifting in response to potential legal outcomes, the coming weeks will be critical in determining whether this optimism translates into broader institutional interest or remains confined to speculative trading.