In a recent turn of events, the cryptocurrency market experienced a surge in the value of Terra (LUNA) following the announcement that Do Kwon, the figure behind the digital asset, was released to house arrest. This legal maneuver comes as both the United States and South Korea have shown interest in extraditing Kwon for various charges, yet the Montenegro Supreme Court has delayed his extradition to South Korea for additional review. Concurrently, Terra’s market performance reflected investor optimism with a significant 26% price hike.
Market Reaction to Kwon’s House Arrest
The unexpected legal decision regarding Kwon was met with a wave of investor confidence, which translated to a 26% boost in Terra’s price amidst a generally bearish market. Currently, LUNA trades at a value of $1.13.
Terra’s market capitalization paralleled the price jump, climbing to $780 million and securing the 114th spot in market cap rankings. The 24-hour trading volume spiked by 270%, topping $394 million and signaling strong market activity.
The price surge is part of a longer positive trend for Terra, marking a 22.4% increase over the week and a remarkable 72.7% rise over the past month, showcasing its robust growth trajectory.
Legal Woes and International Interests
Kwon’s legal troubles began with fraud charges related to a counterfeit passport, leading to his arrest in Montenegro. He was convicted and imprisoned by a Podgorican court, while facing additional allegations from the US and South Korea. The determination of Kwon’s extradition destination remains uncertain, and the recent house arrest decision adds complexity to the situation. The Montenegro Supreme Court’s ongoing review process is now a focal point in the resolution of Kwon’s legal saga.