Krasna Hora has its origins in a ceramics factory named "Krasna Hora" that was built in 1906. Initially, only seasonal employees worked in the plant, but by the 1930s, barracks were built for permanent workers to live. These workers were migrants from Kharkiv Oblast to the north. During World War II, the Krasna Hora factory was occupied by Nazi Germany between October 1941 and September 1943. The brick factory was completely destroyed during the occupation. It was eventually restored in 1944. Actual houses began to be built in the area in 1949, and it received official rural settlement status in 1964 under the name Krasna Hora.[3]
During the eastern Ukraine campaign of the full-scale Russian invasion of Ukraine, Krasna Hora was attacked by Russian forces anew. In summer 2022, electricity and water services were completely knocked out. There were still many elderly people living in the village then.[6] Krasna Hora came under direct assault amid the battles for Soledar and Bakhmut. Geolocated footage from 11 February 2023 showed Russian troops walking around freely in parts of the town, indicating that Ukrainian troops likely withdrew from the settlement.[7][8]
