South Korea court rejects Terra co-founder’s arrest warrant, states Daniel Shin “not a flight risk”

• South Korea’s prosecutors will be reviewing the dismissal before deciding whether or not to file another arrest warrant.
• Luna Classic price spiked by almost 14% during the intra-day trading hours following the news.
• LUNC is close to invalidating its immediate resistance at $0.00019 breaching, which would push it towards monthly highs of $0.00020.

Terra’s collapse was the first big hit the crypto industry took this year, the effects of which are still visible. While the Terra team is attempting to fix everything, South Korean authorities are consistently gunning to punish the culpable. However, by the looks of it, the cards are not in their favor.

Terra co-founder saved from being arrested

Terra’s co-founder Daniel Shin was targetted by the South Korean prosecutors who requested an arrest warrant earlier this week. But within 48 hours, the court rejected the request from the prosecution.

The South Korean court stated that based on Daniel Shin’s behavior during the investigation, it seemed rather improbable for the Terra co-founder to be a flight risk or destroy evidence. Along with Daniel Shin, the arrest warrants for three investors and four developers of Terra’s team were also rejected.

Commenting on the rejection, a Terraform Labs spokesperson stated,

“[The court’s decision] illustrates the unfounded nature of the prosecutors’ claims. With these allegations behind us, our focus is on building the future of Terra and developing the best ecosystem in web3 to launch and scale a blockchain.”

Although the prosecutors might not be done with Terra and Daniel Shin anytime soon. The plea dismissal is being reviewed, and after this, the prosecutors could decide if they want to file another arrest warrant.

Luna Classic price shoots up

Luna Classic price noted an almost 14% increase in price in 24 hours as LUNC jumped from $0.00016 to trade at $0.00017 at the time of writing. Currently, the altcoin is in an uptrend with the presence of Parabolic Stop and Reverse’s (SAR) blue dots evincing the same with their position. 

If Luna Classic price carries on with this rise, it could soon be looking to invalidate the immediate resistance at $0.00019. This would allow LUNC to kickstart a rise toward the monthly high of $0.00020.

LUNC/USDT 4-hour chart

On the other hand, the recent buying pressure overheated the market, as visible on the Relative Strength Index (RSI). Thus if the market cool down impacts the price as well, Luna Classic price could decline slightly and tag the immediate support at $0.000174.

Falling through it would put LUNC in decline toward $0.000161, which acts as critical support. A daily close below this level would invalidate the bullish thesis and result in the Luna Classic price crashing by 18% to $0.000147.

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