Key Insights
- •Privacy coins are outperforming the wider market during the November crash as traders rotate into assets with stronger on-chain privacy.
- •The new Kohaku privacy system of Ethereum has renewed interest in coins with deeper, base-level privacy like Monero, Zcash, and Dash.
- •Monero needs to clear $425, Zcash must break $748, and Dash has to move above $87 to keep their rallies alive.
November has seen Bitcoin and Ethereum sliding, with many altcoins breaking into negative territory. However, one group is still holding strong: privacy coins. These assets have remained resilient even as the wider market experiences a downturn.
The recent introduction of Ethereum's new privacy system, Kohaku, has also reignited interest in coins that offer more robust privacy features at the base chain level. Here are three privacy coins currently standing out in the market.
Monero (XMR): Privacy Coin in Focus
Monero continues to be one of the most prominent privacy coins available. It is designed to obscure the sender, receiver, and the exact amount involved in every transaction, ensuring a high degree of anonymity.
Unlike Ethereum's Kohaku, which offers an opt-in privacy model, Monero provides no transparent option, making it a prime example of comprehensive privacy. This fundamental strength is why it has led the privacy coin sector during the recent market crash.
XMR has demonstrated remarkable resilience. Over the past three months, its value has increased by approximately 50.1%. The broader privacy coin market has seen gains, partly fueled by Ethereum's advancements in privacy technology, with Monero at the forefront of this upward trend.
Monero has been trading within a rising wedge pattern since August 1. Despite multiple attempts to break through the upper trend line, it has not yet succeeded. The current price action brings it close to this resistance level again, making this an important juncture given the renewed focus on privacy narratives.
A confirmed close above $425 would signal significant strength for Monero and provide an opportunity to break out of the bearish pattern. A sustained move above $477 could potentially trigger a larger rally.
As long as the privacy coin maintains its position above $367, buyers are likely to retain control of the trend. However, a drop below this level would weaken the current uptrend and could lead to a decline towards $304.
Zcash (ZEC): One of the More Profitable Privacy Coins
Zcash shares similarities with Ethereum's Kohaku concept. It leverages zk-SNARKs technology, which enables users to choose between transparent and shielded transactions.
This functionality closely mirrors the "opt-in privacy with optional disclosure" approach that Ethereum is implementing at the wallet layer.
The market has responded positively to this privacy-focused approach. ZEC has experienced substantial growth, rising by nearly 1500% in the last three months, making it one of the top-performing assets across the entire cryptocurrency market.
Following a rally to $748, the ZEC price has entered a period of consolidation.
Despite the recent slowdown, ZEC continues to trade above all key moving averages, indicating that the underlying uptrend remains intact.
For the rally to continue, ZEC needs to achieve a candle close above $748, a level that has acted as resistance on multiple occasions since November 7.
Maintaining support above the $585–$623 zone would preserve the short-term bullish structure. Conversely, a close below $498 would shift the short-term trend to bearish.
Dash (DASH): Most Promising for Traders?
Dash offers a different approach to privacy compared to Monero and Zcash. It utilizes a mixer-style system known as PrivateSend, which is considered less robust than cryptographic shielding methods.
Nevertheless, many traders still categorize Dash as a privacy coin, and it has performed well during the recent market downturn. Over the past three months, DASH has surged by more than 244%, outperforming most other large altcoins.
Dash currently presents one of the cleaner charts among its peers. Between October 30 and November 19, the price recorded a higher low while the Relative Strength Index (RSI) showed a lower low.
This divergence often suggests that a pullback is losing momentum, and buyers might be preparing to re-enter the market. A confirmed close above $87 would support the continuation of the current rally for this privacy coin.
Breaking above $103 would further strengthen the bullish breakout. If the trend persists, potential extension targets are located in the $148–$171 range. However, a fall below $61.38 would invalidate the current structure and weaken the setup.