A crypto analyst has issued a stark warning to the SOL community, predicting that the Solana price could crash below $5. The expert’s bearish thesis is based on an extensive review of US federal court documents, suggesting that ongoing legal challenges and potential flaws in the Solana blockchain could lead to the end of the cryptocurrency. 

Analyst Predicts Solana Price Crash And Annihilation

A crypto analyst who calls himself ‘NoLimit’ on X has released a report that has sent shockwaves through the Solana community. He shared court documents suggesting SOL could be nearing its end, with a potential price drop below $5 over the next two years. Currently trading at $122, this would represent a staggering 95.9% decline. 

In his post, NoLimit revealed that he had spent more than 12 hours analyzing court documents, claiming that the findings are highly concerning to Solana. The report highlights recent developments in a US federal court where a second amended class action complaint has been allowed to proceed. 

The analyst noted that the lawsuit involved Pump.fun, Solana Labs, and several other entities linked to the Solana ecosystem. He stated that the court’s decision to proceed shows there is enough evidence to pursue legal actions, putting SOL’s operations under significant scrutiny. 

The allegations focus on insiders seemingly gaining unfair advantages during meme coin launches. According to NoLimit, Plaintiffs claimed that Solana’s validator system and transaction-priority tools allowed certain players to buy tokens faster and cheaper. At the same time, retail investors were left at a disadvantage as prices exploded and collapsed minutes or seconds later. The analyst notes that many investors had experienced this same issue on Pump.fun. 

NoLimit disclosed that the lawsuit contends these outcomes, in which insiders sell for profit and retail loses everything, were not accidental but rather a result of the system. The complaint directly ties the alleged insider behavior to SOL, not just to the apps built on the blockchain. If this argument gains legal traction, the analyst notes that it could position the crypto network as a platform for risky coin launches, a host for bad actors, and a contributor to potential market manipulation. 

NoLimit also warns that if regulators or courts determine that these meme coin launches operate like unregistered securities or that Solana’s infrastructure enabled unfair access, the chain’s core narrative of being fast, cheap, and permissionless could become a liability. Such a development could scare off institutional investors and large-scale funds, possibly leading to the end of Solana. 

Solana Legal Troubles Put Market Trust At Risk

NoLimit warns that the most alarming part of Solana’s present legal issues is the potential impact on institutional confidence. According to him, nearly half of SOL’s circulating supply is controlled by ecosystem-linked institutions, insiders, early investors, VCs, and foundations. He emphasized that a mass sell-off from these holders could trigger a severe market reaction. 

The analyst highlighted that the key concern is what could happen if trust in SOL collapses. He stated that in crypto markets, trust drives prices, not fundamentals, and when it breaks, crashes can be substantial. Past cases like FTX, Luna, and Celsius show how quickly liquidity can disappear and valuations can plummet. 

Terraform Labs co-founder Do Kwon faces the possibility of an additional trial and lengthy prison term in South Korea following his 15-year sentence from a Manhattan federal court for orchestrating the $40 billion TerraUSD collapse.

According to The Korea Times, the 34-year-old Korean national could apply to be transferred to his home country after serving half his US term, where prosecutors are seeking a sentence exceeding 30 years for violations of capital markets laws.

US District Judge Paul Engelmayer delivered the sentence last week, rejecting both the prosecution’s 12-year recommendation and the defense’s five-year request.

“In the history of federal prosecutions, there are few frauds that have caused as much harm as you have,” Engelmayer told Kwon directly.

Korean Authorities Prepare Separate Prosecution

South Korean prosecutors obtained an arrest warrant for Kwon in September 2022 through the Seoul Southern District Prosecutors’ Office joint financial crimes unit.

A senior prosecutor told the local report that prosecuting Kwon domestically would serve local victims most effectively, as approximately 200,000 Korean investors have suffered losses totaling roughly 300 billion won ($204 million).

Ten alleged accomplices have faced trial in Korea for nearly three years while authorities awaited Kwon’s potential return.

The separate Korean charges center on violations of the Capital Markets Act stemming from the same conduct underlying his US conviction.

However, Korean prosecutors maintain they can pursue independent punishment regardless of the American proceedings.

Kwon initially sought extradition to Korea rather than to the United States after his March 2023 arrest in Montenegro on charges of possessing forged documents.

He spent nearly two years detained there before transfer to America in December 2024, with his defense team describing the conditions as “brutal.”

Terra Collapse Mechanics and Fraudulent Claims

Between 2018 and 2022, Kwon admitted to knowingly participating in schemes to defraud Terraform Labs’ crypto purchasers.

The Singapore-based firm issued the TerraUSD stablecoin and its sister token, Luna, claiming that Terra maintained a one-to-one dollar peg through its protocol design.

When Terra fell below $1 in May 2021, Kwon publicly stated the protocol had restored its value autonomously.

US prosecutors later discovered that an investment firm contracted by Terraform Labs had secretly purchased Terra to artificially prop up its price, with Jump Trading’s role deliberately concealed from investors.

Both tokens plunged again in May 2022, wiping out tens of billions in investor value and triggering cascading failures across cryptocurrency markets.

Federal prosecutors specifically cited the collapse’s contribution to Sam Bankman-Fried’s FTX implosion as evidence of broader systemic damage beyond Terra’s immediate losses.

Kwon was convicted on nine counts, including fraud and money laundering, and Judge Engelmayer ordered the forfeiture of $19 million in illicit gains.

The initial potential sentence under US guidelines was 130 years, but the August plea agreement capped prosecutorial recommendations at 12 years.

Sentencing Disparities and Transfer Mechanics

Judge Engelmayer called the 12-year recommendation “unreasonable” while dismissing the five-year request as “implausible,” ultimately imposing 15 years as “the least I can impose.”

The defense argued that dual prosecution should be factored into sentencing calculations, particularly given the overlap in allegations across jurisdictions.

The court rejected this reasoning, with Engelmayer stating that one court cannot base rulings on speculation about another court’s decisions.

US prosecutors indicated they would not oppose a transfer request under the International Prisoner Transfer Program after Kwon serves half his sentence, leaving the pathway to Korean prosecution open.

The contrasting treatment compared to Bankman-Fried’s 25-year sentence has raised questions about consistency, as Kwon’s guilty plea significantly reduced exposure despite Terra’s larger loss.

Legal experts note that federal guidelines for fraud at Terra’s scale typically suggest advisory ranges approaching life imprisonment before statutory caps.

Kwon will receive credit for time served in US custody, though questions remain about whether his 21-month detention in Montenegro will count toward his American term.

The sentencing comes amid escalating crypto-related criminal activity worldwide.

Spanish and Danish authorities recently arrested nine suspects in a violent kidnapping and murder targeting a victim’s crypto holdings.

Just last month, South Australia Police also filed 800 charges against 55 individuals in a massive crypto-linked crime ring.

The post Do Kwon Could Face Second Trial in Korea After 15-Year US Sentence appeared first on Cryptonews.

Despite hitting seven-month highs, analysts dismiss the move as “not a comeback,” putting pressure on bullish Terra Luna price predictions.

The altcoin has seen a comeback this month, with momentum accelerating this week after the deployment of the v2.18.0 network upgrade.

The upgrade introduced stronger security, tighter Cosmos interoperability, and a reinforced link between LUNA and USTC — directly addressing the core issues behind the original chain’s collapse.

Even so, popular X trader Toknex warns the rally carries “no narrative and no lasting value.”

Unlike the original ecosystem, they argue the current momentum is driven almost entirely by short-term speculative trading and “community-driven trading pressure.”

While the upgrade does create a foundation to rebuild the Terra ecosystem, the current market reaction has far outpaced its current fundamentals.

Terra Luna Price Prediction: Is the Rally About to Reverse?

The rally affirms the lower boundary of a three-year descending channel pattern, a proven launchpad throughout LUNA’s post-crash consolidation.

With that confirmation, eyes are turning back to a potential breakout as the upper resistance trendline comes into view.

Yet, momentum indicators add merit to Toknex concerns.

The RSI sits at 63, yet to reach the 70 overbought threshold that often marks local tops, while the MACD strengthens its bullish posture with a widening gap above the signal line.

While these could be interpreted as room to grow, their sharp and sudden spikes could commemorate a rally driven by speculation rather than a long-term positioning, opening the door to downside volatility.

If long-term holders decide to take profit, a shakeout of weak hands could trigger a 70% slide back to the $0.0665 support and potentially expose lower lows.

Still, the bullish case is plausible.

The key breakout threshold sits at a past demand zone around the $0.357 0.382 Fib retracement. Flipping this level to support could open the door to a potential 1,000% rally toward $2.

The interim $0.246 0.236 retracement remains immediate resistance, capping this week’s advance.

PepeNode: A Different Way To Take Positions

Those suffering Terra Luna rally FOMO now face a challenging decision: sit out and miss out on the next leg up, or enter and risk exposure to potential heavy losses.

PepeNode ($PEPENODE) is easing that burden with an easier way to accumulate, without needing to time the market — the pitfall of most speculative investors.

It’s a simple mine-to-earn (M2E) game. No hardware needed.

Just log in, acquire virtual nodes, stack rigs, and configure your setup to start earning passive rewards that diversify across top-performing meme coins.

Momentum is climbing fast. The presale has already passed $2.3 million, while early stakers can still earn up to 557% APY.

And thanks to a built-in deflationary model, where 70% of all $PEPENODE spent on nodes and rigs is burned, scarcity supports long-term token value.

PepeNode stands out as a smarter way to capture some of the market’s strongest upside—without worrying about timing the perfect entry.

With less than a month of presale left, waiting until the public release could set a higher barrier to entry.

The post Terra Luna Price Prediction: LUNA Hits 7-Month High – But One Analyst Says This Pump Could End Badly appeared first on Cryptonews.

A 222% LUNA rally is sparking talk of a comeback, fuelling bullishness for Terra Luna price predictions for the first time since its collapse.

Investors have widely written off the altcoin since system instability triggered a hyperinflation-driven collapse in 2022, but major reforms may put it past that era.

The December 8 launch of the LUNA v2.18 upgrade introduced stronger security features, tighter Cosmos interoperability, and a reinforced link between LUNA and USTC.

These changes created a fundamental backdrop for the surge, directly addressing issues that contributed to the original breakdown. And with, since the start of the month, LUNA is up 222%.

Today’s court hearing for Terra co-founder Do Kwon has added a social catalyst, with headlines around a potential sentencing pushing fresh attention toward the coin.

Still, many market participants attribute the rally to short-term speculative flows rather than improving fundamentals, raising doubts about how durable the uptrend really is.

Terra Luna Price Prediction: Can the Comeback Last?

The rally affirms the lower boundary of a three-year descending channel pattern, a proven launchpad throughout LUNA’s post-crash consolidation.

With that confirmation, eyes are turning back to a potential breakout as the upper resistance trendline comes into view and momentum indicators show room for further upside.

The RSI sits at 63, yet to reach the 70 overbought threshold that often marks local tops, while the MACD strengthens its bullish posture with a widening gap above the signal line.

The key breakout threshold sits at a past demand zone around the $0.357 0.382 Fib retracement. Flipping this level to support could open the door to a potential 1,000% rally toward $2.

The interim $0.246 0.236 retracement remains immediate resistance, capping today’s advance.

still, the sudden and sharp spike in both momentum indicators could commemorate a rally driven by speculation rather than a long-term positioning, opening the door to downside volatility.

If long-term holders decide to take profit, a shakeout of weak hands could trigger a 70% slide back to the $0.0665 support and potentially expose lower lows.

New PEPENODE Presale Lets Users Mine Meme Coins with No Hardware

With volatile coins like Terra Luna swinging between rallies and crashes, timing the market can feel like a losing game, especially for meme coin investors.

PepeNode ($PEPENODE) offers a smarter, low-stress way to gain exposure without trying to predict tops and bottoms.

It’s a simple mine-to-earn (M2E) game, no hardware, no complicated setup.

Just log in, build your virtual mining rig, stack nodes, and start earning passive rewards that automatically diversify into top meme coins like PEPE and BONK.

Momentum is climbing fast. The presale has already passed $2.3 million, while early stakers can still earn up to 559% APY. With just under a month left, the chance for an early entry is fleeting.

And thanks to a built-in deflationary model, where 70% of all $PEPENODE spent on nodes and rigs is burned, scarcity supports long-term token value.

PepeNode stands out as a smarter way to capture some of the market’s strongest upside—without worrying about timing the perfect entry.

To buy early, visit the official PepeNode website and connect any compatible wallet or download Best Wallet if you need one.

You can complete your purchase in seconds using crypto or a bank card.

The post Terra Luna Price Prediction: LUNA Explodes 222% – Is This Comeback Just Getting Started? appeared first on Cryptonews.