- Zcash price has jumped this year and outperformed tokens like BTC and ETH.
- Data shows that the token’s demand has continued to rise this year.
- The cup & handle and Elliot Wave pattern point to more gains.
Zcash price has staged a strong comeback in the past few months, thanks to the resilient demand in the spot and futures markets. ZEC token jumped to $645 on Monday, a few points below the year-to-date high of $685. It remains 245% above its lowest point this year, with its market capitalization rising to over $10 billion.
Zcash Price Jumps Amid Resilient Demand
Data shows that demand for the ZEC token has jumped in the past few months. Some of this demand has come from Cypherpunk, a company backed by the Winklevoss Twins that has accumulated over 314k coins. Management has hinted it will continue buying the privacy crypto token.
The Winklevoss Twins, who were among the first Bitcoin backers, have also invested over $140 million in ZEC tokens, a sign that they expect its price to keep rising.
Most notably, there are signs that more people are embracing the privacy coin, with the number of shielded supplies rising to over 5.14 million. At the current price, these tokens are worth over $3.3 billion. This growth is happening as Zcash has become the most popular privacy token, with its market cap larger than those of Monero, Dash, and Horizen.
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Meanwhile, the volume in the spot and futures markets has continued rising this year. CoinGlass data shows that futures market volume jumped to over $4.06 billion in the last 24 hours. This is a notable amount, given that the coin has a market capitalization of over $10 billion.
Zcash had a futures open interest of $1.54 billion and a 24-hour volume of over $311 million. This growth signals that the upcoming Grayscale ZEC ETF will become popular once it is approved later this year.
The ZEC token is also rising due to macro factors such as the potential deal between the US and Iran and falling crude oil prices.
ZEC Price Prediction: Technical Analysis
Technical analysis suggests that the token has more upside in the near term. It has now entered the fifth stage of the Wyckoff Theory, which is usually bullish.
At the same time, the coin has formed a cup-and-handle pattern. It has moved above the upper side of the cup at $557 and retested it. A break-and-retest is one of the most common bullish signs in technical analysis.
The coin has moved above all moving averages, a sign that bulls remain in control. This cup has a depth of about 68%. Measuring the same distance from the cup’s upper side gives it a target of $995. A break above that price will point to more gains, potentially to $1000.
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