Key Takeaways
Zcash (ZEC) rose 3.25% over the past 24 hours, with trading volume surging more than 32% to $267 million as of April 6, reflecting a renewal of trader interest in the privacy-focused cryptocurrency.
"Zcash is nearly 10 years old, but may be entering a new chapter," Grayscale analyst Michael Zhao said in a recent report. "Use of its shielding technology is increasing, and new capital is entering the ecosystem to support wallet development and Zcash mining."
The move is part of a wider trend of growing activity for the token. On March 31, Zcash open interest on Binance reached $139 million, a signal of new capital entering the market, according to Coinalyze data. The increase in market activity is not isolated to one exchange, with major platforms including OKX and MEXC showing high participation. This follows a reported 400% surge in the use of Zcash's shielded pools, which obscure transaction details.
The key test for Zcash is whether it can overcome a significant resistance cluster in the $270 to $280 range. A failure to break above this level could see the price pull back toward its pre-rally zone of around $231. The recent momentum is supported by fundamental developments, including the resolution of a critical bug in its Sprout shielded pool, which has bolstered investor confidence. While some analysts, like Altcoin Sherpa, note the market remains choppy, the recent performance sets Zcash apart from other privacy coins such as Monero and Dash, which have faced steeper declines.
This article is for informational purposes only and does not constitute investment advice.
