Zcash Hits Eight-Year High, Tops Privacy Coins
Background: Zcash Surges Amid Market Consolidation
Zcash has reached its highest price in more than eight years, signaling a surge in demand for privacy-focused cryptocurrencies. According to Cointelegraph, Zcash (ZEC) climbed 7.6% in the past 24 hours, peaking at $388 on Friday. This rally lifted ZEC’s market capitalization to $6.2 billion, allowing it to surpass Monero (XMR) and become the most valuable privacy coin currently available. The strong price movement comes as the broader digital asset market continues to consolidate, following the collapse of a potential US-China tariff deal earlier in the week.
Investor Appetite for Privacy-Focused Cryptocurrencies Grows
Zcash’s weekly gain of 45% stood out against the ongoing crypto market downturn. This performance highlights a renewed appetite for privacy coins, which are designed to hide user transaction data. Compared to cryptocurrencies like Bitcoin, where transaction histories are publicly traceable, privacy coins such as Zcash and Monero conceal sender, receiver, and transaction details through advanced cryptography. This heightened focus on privacy may be attracting investors looking for greater anonymity amid changing regulatory environments.
The rally appears to have been further fueled by commentary from industry figures. Following BitMEX co-founder Arthur Hayes’s bullish prediction that Zcash could reach $10,000, ZEC jumped from $272 to $355, according to reporting from Cointelegraph. The surge was also noted by Simon Dedic of Moonrock Capital, who remarked on social platform X, “Crazy to see how $ZEC has pulled a 10x in just two months, completely decoupling from the market and ignoring overall sentiment” (Cointelegraph).
Market Movements and Whale Activity
Despite accelerating demand, on-chain data suggest that large holders—commonly called whales—have been selling. Crypto intelligence platform Nansen reported that wallets holding significant ZEC amounts sold a net total of $702,000 of the token over the past week. Meanwhile, the overall number of Zcash holders surged 63% to 1,968. The token’s robust price action and increasing holder count suggest continual inflows of new market participants, helping Zcash defy the prevailing bearish sentiment across other digital assets.
What’s Next for Zcash and Privacy Coins?
Zcash’s recent climb to a multi-year high positions it as the leading privacy coin for the time being. Analysts and investors alike are watching for future developments, including regulatory responses to privacy-focused tokens and broader adoption of privacy technologies. With the cryptocurrency market in flux, the performance of coins like Zcash will likely remain under close scrutiny in the coming weeks.
For further analysis and updates on digital assets and privacy coins, visit Vizi’s Cryptocurrency section.
Sources
Reporting via Cointelegraph.
