The Zcash (ZEC) price has surged by more than 750% in the past three months, with token holders gaining over 20% in the last 24 hours.
This dormant privacy coin from crypto’s early days began capturing attention in October, emerging from nearly nine years of relative obscurity since its launch in 2016.
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Arthur Hayes Reawakens a Zcash Price Rally
According to CoinGecko data, ZEC is trading at $332.52, up by 20.8% at the time of writing. This uptick follows a bold statement from BitMEX co-founder Arthur Hayes, who set a staggering price target of $10,000 for ZEC, igniting renewed interest in the token and its ecosystem.
Hayes is known for his contrarian macro views and market-moving comments, and his endorsement contributed to ZEC’s market revival following the Black Friday crash that initially weighed on prices.
“…after a long period of silence, it [ZEC] was suddenly endorsed by a legendary Silicon Valley investor, driving everyone to follow the trend and join in, subsequently triggering a full month’s FOMO market frenzy,” said analyst AB Kuai Dong.
Despite periodic spikes over the years, Zcash has largely faded into the background, challenged by stricter regulations and diminishing developer activity. However, over recent weeks, it has emerged back onto traders’ radars, drawing attention away from sheer nostalgia.
Analysts suggest this sudden resurgence in interest is reminiscent of early Bitcoin and Ethereum mania, pointing to several structural catalysts aligning.
“ZEC absolutely blew my mind. Price pumped +755% in 3 months, testing the $305 ‘ATH’ resistance. Greyscale launched a Zcash trust this month, a Hyperliquid listing, an upcoming halving, and the ‘BTC vs. Zcash’ discussion triggered explosive momentum,” said crypto analyst Lennaert Snyder.
However, not all analysts are keen on the current hype. Ignas DeFi, a prominent DeFi analyst, remarked that Zcash exemplifies how narratives can emerge and go viral. He cautioned that many traders might become exit liquidity for coordinated pump schemes.
He further described a reflexive loop where traders, seeing ZEC content circulating online, buy in to avoid missing out, thereby amplifying the hype and feeding the cycle.
Mert Helius, CEO of Helius Labs, also called into question ZEC’s valuation compared to larger-cap altcoins, suggesting a cautionary stance for potential investors.
Zcash Price Outlook: Key Levels to Watch
Trading at $333.77 as of now, the ZEC price is drawing attention to a critical support level at $281.35, identified as the mean threshold of a significant supply zone between $270.95 and $292.22.
Historically, every time the price has tested this order block, it has encountered severe sell pressure that curtailed upward momentum, at least until the recent breakout.
From a technical standpoint, ZEC is currently trading within an ascending parallel channel, suggesting that as long as the price remains confined, further gains may be on the horizon.
With the RSI (Relative Strength Index) continuing to rise, momentum remains robust, potentially pushing the Zcash price towards $360—a 6% increase from current levels.
However, should the upper boundary of this ascending channel serve as a resistance level, there’s potential for a price decline. A drop below the midline at $298.35 could exacerbate the correction, risking a breach of the 9-day SMA (Simple Moving Average), typically a support level.
Only a decisive close below $281.35 would signal a stronger correction, with fresh selling pressure likely emerging, potentially pushing prices down to $240, indicating a breakout from this bullish technical formation.
In the worst-case scenario, should the price dip below the psychological threshold of $200, further losses could become more probable.
With the RSI sitting at 79, concerns grow regarding overbought conditions, hinting at possible corrections due to buyer fatigue.
