Zcash (ZEC) has spiked 20% in just 24 hours as market optimism strengthened. Zcash traded at $259.32 with a 24-hour trading volume of $832.42 million, according to CoinMarketCap. The wider crypto market also moved higher, with the global market cap reaching $3.83 trillion, up 1.28% from the previous day.
This sharp rally came after weeks of quiet trading below $100, before ZEC suddenly shot past $300 in early October. The big jump showed that traders are gaining confidence again and turning their focus back to privacy coins. Much of this sudden momentum also came from increased action in the derivatives market, particularly in perpetual futures.
Market sentiment and price behavior
Data from Coinglass shows a change in trader mood between mid-July and mid-October. For a while, the funding rate stayed mostly neutral, meaning there was an even split between those betting on prices to rise or fall.
In early October, ZEC managed to break through $150 and started climbing rapidly. Shortly after that, funding rates shot up, showing that a lot of traders were rushing to take long positions, hoping the price would keep going up.
These kinds of spikes often hint at an overly optimistic market. Before this surge, the funding rate had briefly dipped into negative territory in late September, suggesting there was a bit of bearish sentiment at that time.
Technical outlook shows strength
Besides market momentum, technical indicators imply Zcash is in a robust upswing. ZEC recently experienced a minor decline from a peak close to $295, according to TradingView data. The RSI value of 57.8 shows that there’s decent momentum without being overbought.
Fibonacci retracement levels at $211 and $230 are support zones that buyers are vigorously defending. In contrast, the MACD indicator is displaying a minor bullish crossover, indicating that the upward trend may continue.
Meanwhile, the rally has not gone unnoticed by skeptics. Commentator Justin Bechler posted, “ZCash is a Silicon Valley software company with a crypto token that’s down 99.96% against Bitcoin.” He warned traders to “block every single individual who suddenly expresses interest in it.”
Zcash’s surge points to growing interest in privacy coins, but the sharp price moves hint at a market that’s still unstable.