The cryptocurrency LUNA has once again caught the market's attention ahead of the inauguration of former US President Donald Trump. At the time of writing, the price of LUNA was recorded to have fallen by around 14% to $0.345. The prediction that the price of LUNA could move towards the range of $1.06 to $1.09 despite being surrounded by negative news related to Do Kwon, is an important highlight for traders.
Optimism Based on Trump's Policies
Donald Trump is known for his pro-US economic and trade policies during his tenure. The expectation that this inauguration could have a positive impact on the global market, including the cryptocurrency sector, is one of the reasons why investors are projecting an increase in the price of LUNA. This sentiment is mainly reinforced by the assumption that Trump's economic policies could increase speculative interest in digital assets.
Additionally, there are rumors that Do Kwon, the controversial figure behind LUNA, may be extradited to the United States instead of South Korea. While this has not been confirmed, the move is seen by some in the community as an attempt to resolve the legal case more transparently and potentially restore some of the market’s trust in LUNA.
Negative News Still Looms
However, it is important to remember that LUNA is still surrounded by negative sentiment. The legal case involving Do Kwon and the previous collapse of the Terra ecosystem still cast a shadow over the asset's reputation. The process of restoring market confidence is likely to take quite a long time, especially amidst uncertain legal developments.
Warning for Spot Traders
For spot traders, it is important to remain cautious in responding to this potential price increase. Positive sentiment regarding Donald Trump's inauguration and speculation about Do Kwon may be temporary. With high volatility and uncertainty surrounding LUNA, the downside risk remains significant.
Conclusion:
While the projection of LUNA’s price increase towards $1.06 to $1.09 seems promising, traders need to remember that the asset is still in the midst of a storm of negative sentiment. Donald Trump’s pro-economic policies and rumors related to Do Kwon are indeed potential catalysts, but in-depth analysis and strict risk management are still needed before making investment decisions.
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