Zcash continued its price rally, extending its uptrend for another week. Since falling below $320 a week ago, the altcoin has closed at higher highs, signaling sustained market demand.
As a result, the altcoin nearly erases its 2026 losses, jumping to $428, a level last seen in early January before retracing slightly.
At the time of writing, Zcash (ZEC) was trading at $418, up 8.64% on the daily charts. The altcoin has seen sustained gains amid increased capital rotation into privacy-centric coins.
With the issue of quantum threat resurfacing after the latest DeFi hacks, investors have rushed to alternatives perceived as more secure. As a result, the market demand for these coins, especially ZEC, has strengthened significantly.
Zcash Sees Renewed Demand Amid Capital Turnover
Zcash has seen sustained demand in the spot and futures markets over the past week. On the futures side, more than $2.7 billion was invested in new positions, compared to $2.5 billion in outflows.
As a result, the altcoin’s Futures Netflow increased by 48% to $130 million over the past week. The trend continues on shorter time frames, with Netflow increasing by 278% to $83 million in 24 hours.
The increased demand for these positions has significantly affected price action, with particularly strong upward volatility.
Interestingly, the increase in demand for futures contracts also followed a higher liquidation rate. In particular, investors who were shorting the market saw a larger liquidation, with over $10 million in short sales liquidated.
On the Spot side, buyers also intervened to accumulate. According to CoinGlass data, Spot Netflow has remained negative for two consecutive days.
At press time, Netflow was -$4.24 million, indicating higher withdrawals, a clear sign of aggressive spot accumulation.
The combined increased demand from both sides has strengthened the altcoin’s bullish momentum, leading to recent gains. Often, a sustained period of demand follows additional gains.
Can the momentum hold
In addition to the organic demand recently seen, Zcash has seen an increased inflow of capital from short coverings. Demand across the market has, in turn, reinforced the bullish momentum.
In fact, the altcoin’s Momentum Shift indicator remained positive for an entire month. This not only shows a shift from bearish to bullish, but also indicates that demand has started to exceed supply.
Usually, these patterns appear when the market is strengthening after a period of weakness and often precede higher prices.
At the same time, ZEC currently sits above the historical EMAs 1, 2, and 3, validating the strength of the dominant trend. These conditions suggest that ZEC will likely see more gains on its price charts.
If the trend continues, ZEC will reverse $430 and target $450. However, if the trend breaks down, Zcash will fall below $400, with the all-time 1 EMA at $374 serving as immediate support.
Final Summary
- ZEC hit a four-month high of $428, nearly erasing its 2026 losses.
- Zcash continued its price rally, with growing demand and a further rotation of capital into the private crypto.
