Zcash Hits Highest Price in Eight Years
Privacy-focused cryptocurrency Zcash (ZEC) has surged to its highest price since 2018. In the past 24 hours, ZEC rose about 16% to near $440. This gain stands out as most major cryptocurrencies fell during the same period.
As of writing, Zcash trades around $427.25, with a 24-hour trading volume exceeding $1.38 billion. Its market cap is approximately $7.16 billion, according to TradingView. The coin has climbed nearly 200% in October, while the overall crypto market dropped about 4.5%.
Factors Behind Zcash’s Rally
Influential Endorsements
High-profile figures have boosted Zcash’s price momentum. In early October, investor Naval Ravikant called Zcash an insurance against Bitcoin. This mention triggered a 60% price increase. Soon after, Mert Mumtaz, co-founder of Helius Labs, predicted ZEC could reach $1,000. BitMEX co-founder Arthur Hayes set a $10,000 price target.
These endorsements fueled strong retail interest, similar to past crypto rallies driven by influential voices.
Market Dynamics and FOMO
A short squeeze has also helped push ZEC higher. CoinGlass data shows nearly $65 million of ZEC futures liquidated in two weeks, with short positions dominating. When bearish traders liquidated, Zcash’s price spiked further.
Google search trends for “Zcash” surged in October, suggesting rising fear of missing out (FOMO) among investors. This cycle of liquidations and buying increased upward pressure on the price.
Renewed Interest in Privacy
Zcash’s rise reflects growing demand for digital privacy. Its underlying zk-SNARK technology hides transaction data, offering more anonymity than Bitcoin or Ethereum. On-chain data shows over 4.5 million ZEC stored in shielded addresses, indicating stronger adoption of its privacy features.
As regulators worldwide discuss tighter crypto controls, privacy coins like Zcash gain attention as alternatives to fully transparent blockchains.
Outlook and Market Risks
Despite the rally, analysts warn of potential short-term corrections. Zcash’s daily chart shows a rising wedge pattern, often a bearish signal. The Relative Strength Index (RSI) is near 74, indicating overbought conditions.
If the price falls below the wedge’s lower trendline, ZEC could drop 30%, reaching support levels near $260 to $270. However, some bulls expect the price may reach $450 before any pullback, especially if trading volumes remain high.
Zcash’s surge highlights the crypto market’s sensitivity to social sentiment and influential endorsements. It demonstrates the continued importance of privacy in digital finance amid regulatory debates.
Currently, Zcash trades near $424.88, up nearly 14% in the last 24 hours. Whether this momentum continues or fades remains a key story for November.
For more details, visit TradingView and CoinGlass.
