While most altcoins are still trying to recover from the recent crypto market crash, Zcash (ZEC) price seems to be living in a different world. The privacy-focused token has gained nearly 74% over the past week, holding steady even as other tokens have faltered.
This strength is driven by belief, not hype. Both large shareholders and individual traders have been quietly buying the dip, and ZEC’s price chart shows that there may still be some momentum left. However, further improvement also comes with some risks.
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Buyers refuse to exit as money continues to flow in
Zcash’s buying pressure remained stable even as the broader market panicked. Both institutional and retail activity remain strong, and these two sectors typically move in opposite directions during a crash.
The Money Flow Index (MFI), which tracks purchasing power and trading volume, is above 95, indicating traders are still buying aggressively at high prices.
On the other hand, the Chaikin Money Flow (CMF), which reflects large-scale or organized activities, has remained positive at around 0.25, confirming that major companies are not pulling back.
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Taken together, these trends explain why ZEC prices rebounded so quickly after briefly falling to $150 on October 10th (with the threat of a crash).
Buyers quickly absorbed the decline and pushed the ZEC price back to near $290. This consistent inflow of funds from both retail and whales kept Zcash on an upward trend even when large parts of the market were in the red.
However, CMF has not yet returned to its peak in early October. In other words, although buying has been steady, the momentum of serious institutional investors has not fully returned. If big money increases again, Zcash’s price increase could easily be even bigger.
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Leveraged traders can be spoilers
The only major risk to the Zcash price at the moment comes from the derivatives market. Data from Bybit’s ZEC/USDT liquidation map shows that the market is heavily tilted towards long positions. The cumulative long leverage is $21.49 million, while the short leverage is only $3.43 million.
This means that most traders are betting that ZEC price will continue to rise. However, if the price suddenly falls towards $178, all leveraged longs could begin to be liquidated, setting off a chain reaction of forced selling similar to the one that caused the recent widespread sell-off.
So while spot buying remains strong, leveraged traders may be building pressure points that could cause short-term volatility if sentiment changes.
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Can Zcash maintain its ground above $250?
The daily Zcash chart shows that the rally is still technically sound. The token continues to trade within an ascending triangle, with Fibonacci levels providing a strong structure. At the time of writing, ZEC is sitting around $287, with immediate support near $251.
If the price manages to maintain its level, and the buying pressure from both retailers and whales continues, ZEC could move towards the next resistance level at $331. If the price closes above this for the day, it could open the door to $461, indicating a continued solid move.
However, as leveraged positions begin to unwind, the initial fallback zones remain around $223 and $170. These will be key areas for push-buyers to intervene again if the rally subsides.
