Zcash price rebounded 10% after bulls managed to defend the $400 support level on Wednesday. It is now eyeing a breakout from a bullish triangle pattern that could lead to gains of nearly 45% if momentum holds.
Summary
- Zcash price was up 10% on Thursday.
- Nearly $2.24 billion of ZEC tokens are now shielded.
- An ascending triangle pattern has formed on the 4-hour chart.
After falling nearly 10% from its Monday high of $454, Zcash (ZEC) price managed to recover from most of its losses as bulls managed to defend the $400 support level. Trading at $446 at press time, the privacy token is up 10% in the past 24 hours and 45% above its December low.
However, the ZEC price is still 38% lower than its year-to-date high of $723 reached in November.
Zcash price rebound was supported by a slew of catalysts. First, many analysts predict that privacy will become a top focus heading into 2026, with forecasts from major companies such as Grayscale touting privacy as a key crypto narrative to watch.
Other privacy tokens, such as Monero (XMR), Dash (DASH), and Horizen (ZEN), have also benefited from this narrative and notched gains of 3.7%, 4.8%, and 6.4% over the past week.
Second, the rising supply of shielded tokens also hints that people are increasingly utilizing the Zcash token. Per the Zcash dashboard, shielded transactions have moved up to 30.6%, with nearly $2.24 billion worth of tokens now shielded.
The Zcash community is also hoping that the Grayscale ZEC ETF will be approved in the months ahead. This could lead to greater institutional inflows, which in turn could support ZEC price over the long run.
The 4-hour timeframe chart shows that Zcash price has been forming an ascending triangle pattern. The neckline, which marks the level at which bulls faced resistance, stands at $475. Traders typically view a confirmed breach of this upper resistance as a primary buy signal, often resulting in a sustained move higher.
Zcash price has formed an ascending triangle pattern on the 4-hour chart — Dec. 25 | Source: crypto.newsIn Zcash’s case, a breakout could mean a rally back to its November high and beyond as long as bullish momentum holds.
Looking at technical indicators, the MACD line has formed a positive crossover with the signal line and is pointing upwards. It means that buyers are gaining strength over sellers.
The Supertrend, another trend-following indicator, has also flashed a buy signal as it moved below the price level.
As such, $475 stands as the key level to watch for now as it forms a crucial resistance, and a breakout from it could make way for a rally towards $648 over the coming weeks. The target, calculated by adding the height of the highest swing within the triangle pattern above the neckline level, stands around 45% above its current price.
Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.
Source: https://crypto.news/zcash-price-coils-within-bullish-triangle-breakout-could-spark-45-upside/
