Grayscale’s Zcash Trust (ZCSH) just doubled its trading volume, pushing daily volume surpassed $2 million as protected Zcash supply reached an absolute record.
Two separate signals, one institutional, one on-chain, converging at the same time, is not a coincidence that you are ignoring.
Armored supply now represents around 30% of ZEC’s circulating supply, its highest share on record. The question is whether this is a structural change in how investors and users interact with Zcash, or a short-term spike with nowhere to go in May.
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Can Zcash price break resistance at $400 or does $220 come first?
ZEC is sitting at $335 on the daily chart, and the most notable thing here is the massive rally from the February low near $185, with ZEC price almost doubling before entering the $400 resistance zone and being rejected lower.
This $400 level marked by the red dotted line is the key ceiling; it rejected prices sharply in April and is the line that separates the current rally from a real attempt at a trend reversal.
Price is now in a consolidation zone between around $300 and $380, after the initial rally momentum has faded, and the structure suggests that it either needs to build another base here or risk falling back towards the $240-$260 range, where support lies below.
On the positive side, the recovery of $400 opens the way to $457 first, then $527 and $600 as the highest targets marked on the chart, all of which were previous support and resistance areas of the November-December range.
The daily chart shows a coin that has reached a significant bottom and recovered well, but is now at a decision point where easy gains from the lows have already been made, and the next step requires breaking through actual resistance rather than simply bouncing off a bottom.
$400 is the level to watch. Until the situation reverses, it is still a resumption trade, not a breakout.
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The post Grayscale’s Zcash Trust Just Doubled in Volume as Armored Supply Hits Record High: Is $400 the Next Target? appeared first on Cryptonews.
