Thank you for the idea. I actually made a team based off of it, and it is so successful. I only changed a few things. My cousin, Kevin Han, (Yes, the Kevin Han, the 2 time world champion, that isn't too important) gave me help with editing the team.
First, I swapped Incineroar with Indeedee(F) It stops priority attacks, like fake out, and turns expanding force from Hatterene into a demon leveled attack. I did Psychic Seed with Psychic, Helping Hand, Follow Me, and Protect. Follow Me is better than Rage Powder, as grass types and Pokemon with Stalwart, Overcoat, Safety Goggles, etc can ignore the effects. I got second in Pittsburgh for the 2026 VGC Regionals in the Junior division, and I literally got to the final match because of Tera Grass.
Next, I changed Hatterene's Tera to Steel, as Psy Terrain stops Fake Out, so Tera Ghost isn't that useful. It is pretty useful for defending against a Gholdengo with a Life Orb that had just taken a Nasty Plot, while Tera Ghost lets it get nuked.
I swapped Kingambit's Life Orb for Assault Vest. Mine doesn't have that strong of a natural Sp. Def, and I can survive without all of the fancy moves like Swords Dance and Protect. I did Tera Flying with Tera Blast and Low Kick instead of Tera Fairy and Swords Dance/Protect.
I also noticed that Araquanid has no point in using Chilling Water, as it is a pitiful special attack and the only use for it is Tera raids. I swapped it for Wide Guard, and Used Mystic Water, as Kingambit had the Assault Vest and Liquidation has even more of a STAB boost. I did Leech Life instead of X-Scissors, as it has the exact same base damage stat but also heals you. Poison Jab and Liquidation are great, though. It's actually a good counter for the demon combination: torkoal and hisuian lilligant. You have Water Bubble for eruption defenses, and Wide Guard protects against eruption, so if you send out sinistcha, they think you're a sitting duck, but you set up trick room. You can outspeed lilligant and close to OHKO it with poison jab, and finish it with Sinistcha. Sinistcha is perfect. in fact, I don't see much point in Rage Powder, and I rarely use Amoongus. The only thing that I did differently was Poltergeist instead of Hex, since nearly every Pokemon has a held item, but Hex isn't any worse or better. Blood-Moon-Ursaluna should have the Life Orb that Kingambit should have according to you, because Throat Spray only boosts it once, and you have to use hyper voice to activate it, and they can just spam Wide Guard. Life Orb, meanwhile, is an easy and automatic boost that makes you even more powerful. I did Tera normal as well, as you can boost your hyper voice&Blood Moon, and that's nuke almost anything. Same moveset.