Monero Flips Zcash: XMR Now #1 Privacy Coin, Eyes New ATH

Monero (XMR) is back in the driver’s seat: it’s widely being ranked as the largest privacy coin by market cap, overtaking Zcash (ZEC) and reclaiming the “default privacy” narrative.

Zcash was hit by fresh governance drama after the Electric Coin Company (ECC) development team resigned following a dispute with the nonprofit Bootstrap board — an internal rupture that spooked traders and reopened old questions: Who steers Zcash when the builders walk?

That uncertainty bled straight into price action. On January 8, 2026, ZEC fell roughly ~17–20% in a day across major market reports — yesterday’s move (relative to today, Jan 9) that shoved Zcash into “damage control” mode while the market rotated elsewhere.

Why Monero benefits even more from the Zcash crisis

Monero (XMR) has long been considered the default privacy coin because its privacy is on by default, while Zcash’s shielded protocol remains optional and under-used. That difference matters more now than ever.

When Zcash was gaining market cap and price in late 2025, even briefly overtaking Monero thanks to a strong rally and high-profile endorsements, traders still saw it as a tech-driven privacy play, not the de-facto privacy cash alternative.

While Zcash proponents argue this is just restructuring and the protocol stays intact (the team is reportedly starting a new entity to continue work) critics say the execution risk just spiked. This kind of leadership vacuum is exactly the kind of event that spooks investors and pushes capital toward protocols perceived as more stable or community resilient, like XMR.

Simple market psychology at play: fewer questions about future upgrades = more confidence to hold and rotate capital in. As ZEC drops 15–25% on governance fears, XMR has been the biggest beneficiary in relative terms.

Can XMR exceed its highest peak soon?

Monero’s prior all-time high sits near ~$540, and recent price action through early January 2026 has seen XMR testing resistance around the $460–$490 range — a key zone it hasn’t stayed above sustainably since 2021.

According to aggregated market reporting, there’s an active technical breakout setup forming, some analysts see a cup-and-handle or bull-flag pattern that could propel XMR toward $2,000 if momentum continues and volume stays elevated. That’s a long-term view, not a guarantee, but it highlights how traders are framing the narrative after Monero flipped Zcash again.