Zcash is back on traders' radar; the price jumped from around $270 to over $320 in a day, causing ripples in the entire market. So why the sudden spike?
A mix of halving excitement, institutional investment, and new interest in financial privacy is seeming to fuel the run-up.
Halving Hype Is Building For ZEC
One of the main reasons for the ZEC rally is the increasing hype surrounding its next halving, scheduled to take place in November 2025.
When that happens, the Zcash daily issue will decrease from about 3,200 coins to 1,600, cutting its inflation rate by half from 8% to about 4%.
This is a big deal because less supply means less selling pressure from miners. And if history repeats itself, ZEC price could have a lot of room to run.
After its 2020 halving, the coin surged by more than 170%, and traders are already trying to get ahead of that move this time around.
Another bullish factor is the Zcash growing shielded pool usage, which now makes up 25% of all supply. That’s a sign that more people are using ZEC for its privacy features, strengthening the long-term case for the project.
Institutions Are Paying Interest to Zcash
The second big story is institutional adoption. Grayscale established a Zcash Trust on Oct. 26, offering qualified investors a new way into ZEC with no custody or wallets involved.
It’s an old playbook, one Grayscale applied to Bitcoin years ago, and one that can potentially direct more money into Zcash given that its market cap is relatively small (around $5.3 billion). Even a modest wave of inflows could make a noticeable impact on ZEC price.
This comes at a time when traditional finance giants like JPMorgan are slowly warming up to crypto, recently approving Bitcoin and Ethereum as collateral for loans. Some traders are even speculating about a possible CME futures listing for ZEC down the line.
The Privacy Narrative Is Coming Back
Zcash is also benefiting from a comeback in the privacy narrative. With talk of CBDCs (central bank digital currencies) and stricter KYC rules spreading globally, investors are turning to privacy coins as a hedge against surveillance-style finance.
Well-known voices like Helius CEO Mert Mumtaz and investor Naval Ravikant have described ZEC as “insurance against Bitcoin’s transparency.” On-chain activity supports that idea; Zcash’s shielded transactions now total more than 4.5 million coins, up roughly 15% this month.
There are still risks, though. The EU’s planned 2027 ban on privacy coins could hurt liquidity in Europe. But many believe U.S. regulation could soften if political winds shift, keeping the ZEC price long-term outlook alive.
The ZEC Chart Looks Strong
From a technical view, Zcash price recently broke out above a key $300 resistance level, confirming a short-term breakout.
The volume picked up during the move, giving the rally more conviction. The nearest key resistance above is between $340-$350, with $274 now becoming a firm support zone.
RSI is at around 67, so ZEC is pretty hot but not in extreme territory yet, which leaves some space for the rally to continue if momentum carries on.
What Comes Next for Zcash
Zcash rally is being powered by three forces: halving hype, new institutional exposure, and growing demand for privacy-focused assets. It’s the perfect mix for bullish sentiment.
If ZEC price can stay above $274 and keep its momentum, the next logical target is the $350-$375 zone. And with the halving less than a year away, traders are clearly betting that the best may still be ahead for Zcash.