A lot of this based around headcanons and other stories in my AU. Some of them need a quick explanation:
Gaius, the ancient dragon lord: There’s a longer story about this that I have written
(HERE). Celestia was confident ponies way of living, sharing kindness and helping each other, would benefit the dragons too. Gaius trusted his friend, and taking her advice started to show kindness to his fellow dragons. Which led him to be overthrown by Scales and exiled from the dragon community. He blamed Celestia of him becoming ‘weak’.
Radiant Hope: After Sombra’s banishment and the disappearance of the Crystal Empire, she became Celestia’s personal student. Shortly later Radiant started to question whether or not it was the right thing to do and if there wasn’t a way to save Sombra and the Empire. Celestia many times assured her it was the only way and Sombra was a loss cause. Radiant hated that, because she knew the stallion since she was a foal. And she hated herself for betraying him. She left her mentor’s side to find a way to save Sombra and bring the Empire back. That’s when she was spirited away by the Umbrums.
Potion Nova (and Cosmic Prism): Similar to Gaius, her story was explored in an older drawing
(HERE). In short, Potion Nova was the one behind the love potion. She may build a bit of an ego and got cocky, thinking her potions can solve everything, which led to chaos and her exiling herself into another world. Cosmic Prism was the victim of said love potion. She lived a relatively normal life after the incident, but with Potion gone, lost a dear friend.
Princess Luna: Alone and unloved, that’s how Luna felt. Just a secondary thought, leaving in her sister’s shadow. She wanted the Moon, the night and stars to be in the front sometimes. But everytime she suggested to make some day where the night just a bit longer Celestia refused. Many feuds happened between the two sisters, which led to Luna starting to hate her sister. And this hatred one day turned her into Nightmare Moon. Thinking there’s no other option, Celestia banished her sister and locked her away into the Moon.
Tempest Shadow: Young Tempest as a last result reached out to Celestia hoping she can fix her horn something no other powerful unicorns couldn do. However, Celestia said no. Unknown wether or not because she couldn’t do what Tempest requested or because she simply didn’t want to. Tempest didn’t accept the first one as possibility. How can someone be so powerful, but can’t do something like this? This may were the last straw that pushed Tempest to turn her back on pony kind. Later outside of Equestria, she started to work for the Storm King, because he promised her what Celestia wouldn’t even try. Help her.
Sunset Shimmer: She did great in her studies and was trying her hardest. Celestia still not allowed her to feel equal to her, despite the fact she transformed many of her past students into alicorns and crowned them as princesses. She made many requests and pleads, but Celestia wouldn’t listen, stating she is not ready. After trying to take her destiny into her hooves and got sent away by Celestia, she escaped into another world.
it okay to be right
And she is still making the same mistakes for Luna’s case after Luna came back pretty much.
It’s a “personality overlay”, something like an externalized Tantabus, that Luna used to don, first so she could create night-time trouble that she could then heroically solve in her real persona, in the hopes of gaining the love and admiration of ponies. This worked, to an extent, but it also made more and more ponies afraid of the darkness and nighttime, backfiring on Luna. So, later, she used the Nightmare as a way to lash out at the ponies she saw as ungrateful and spurning her, making the night even more frightening and increasing her jealousy and frustration.
By the time Celestia challenges her, Luna’s spent so much time as Nightmare Moon, and put so much of herself into this persona, that when she changes she literally loses herself, becoming just an ignored voice at the back of the Nightmare’s mind.