Zcash's price ascends in tandem with escalating demand for shielded value and privacy tokens.
Zcash's price surge continued on Monday, propelled by a rise in the total shielded value within its network and a heightened social dominance score. The cryptocurrency reached a high of $56.75, its highest level since January, marking a 125% increase from its lowest point this year. This upward trend boosted Zcash's market capitalization to nearly $900 million.
The price rally coincided with data revealing an increase in the total shielded value to 3,062,081 ZEC, up from last month's low of 2,650,000 ZEC. The shielded value signifies the ZEC held in the sprout and sapling pools, which are linked to shielded addresses that utilize zero-knowledge proofs to encrypt transaction data, including the sender, recipient, and amount. This contrasts with transparent pools, where transaction details are publicly visible and currently hold 12,977,815 ZEC.
Zcash's privacy-centric identity has been underscored by this separation between shielded and transparent pools. The cryptocurrency's price surge also corresponds with an increase in demand for privacy coins following the cessation of legal issues involving Tornado Cash, a prominent mixer platform. Monero, another prominent privacy coin in the crypto sphere, has seen a continuous eight-week rally and is approaching its all-time high.
For a more in-depth analysis of Zcash's technical indicators, consider the following points:
- The token bottomed near $28, a level it hadn't breached below since February.
- It subsequently surpassed the key resistance at $42.45, the high from March 2 and April 1.
- Zcash is currently approaching the 38.2% Fibonacci retracement level.
- A crossover between the 50-day and 100-day Exponential Moving Averages has materialized, typically construed as a bullish signal.
- The Relative Strength Index has climbed to 74, indicating overbought conditions.
- Zcash has entered the third phase of the Elliott Wave cycle, often characterized as the longest and most impulsive.
With this setup in place, a further climb in Zcash's price seems likely, with bulls targeting last year's high of $79.80, representing an upside of 47% from current levels.
As for Monero and Zcash's performance, growth potential, and features, a more extensive evaluation is available in an accompanying article. In brief, both cryptocurrencies boast strong market presence and growth potential, but Monero excels in providing complete anonymity, while Zcash offers optional privacy, catering to diverse user preferences. As privacy concerns escalate, both coins are poised to benefit from increased demand.
- The surge in Zcash's price is accompanied by an increase in the total shielded value within its network, currently at 3,062,081 ZEC.
- The bullish signal for Zcash comes from a crossover between the 50-day and 100-day Exponential Moving Averages, indicating a potential upward trend.
- In the world of crypto finance, both Zcash and Monero, privacy-focused coins, are attracting investors due to their strong market presence, growth potential, and their ability to cater to diverse user preferences regarding privacy.
