Zcash's price experienced a significant surge in the past 24 hours following the U.S. Securities and Exchange Commission (SEC) notifying the Zcash Foundation that it does not intend to recommend any enforcement action against the project.
Data from CoinCodex indicates that the privacy token's price jumped over 5% in the past day of trading, reaching $438.44 at the time of reporting. This 24-hour gain contributes to the cryptocurrency's positive weekly performance, with the price of Zcash up over 10% on the longer-term weekly timeframe.
SEC Concludes Investigation into Zcash Foundation
The increase in ZEC's price follows an announcement from the Zcash Foundation stating that the U.S. SEC has formally closed its review of the organization. This conclusion marks the end of a probe that commenced over two years ago.
In a statement released on Wednesday, the nonprofit organization revealed it had received a subpoena from the SEC on August 31, 2023. This subpoena was related to an inquiry titled "In the Matter of Certain Crypto Asset Offerings (SF-04569)."
According to the foundation, the SEC has now informed Zcash's governing body that it will not recommend any enforcement actions or require any changes as a result of its review. This decision effectively resolves the concerns associated with the inquiry, which was part of the SEC's broader examination of crypto asset offerings and disclosures.
The Zcash Foundation emphasized that this outcome reinforces its "commitment to transparency and compliance with applicable regulatory requirements," and that its core mission remains unchanged. The organization, dedicated to supporting the development of the privacy-focused cryptocurrency ZEC and its ecosystem, affirmed its continued efforts to advance privacy-preserving financial technology for public benefit.
Analysts Divided on ZEC's Future Price Movement
Following Zcash's recent price surge, market analysts hold differing views on the altcoin's next potential move.
Daniel Ramsey, an analyst with over 12,000 subscribers on X, expressed optimism for further upside. He noted the formation of a "Bullish Pennant" on ZEC's chart, situated below a "major supply zone," and predicted that the token is "preparing [for] a huge breakout."
The pseudonymous trader and analyst known as "Broke Doomer," who has a following of more than 187,000, shared a similar positive outlook in a recent post.
“Easy cook $ZEC looking bullish to me rn,” the analyst stated. Broke Doomer added that once ZEC breaks its current resistance zone, the altcoin is expected to rally significantly beyond current expectations.
However, not all analysts are eager to join the upward trend. Crypto Tony, with an audience exceeding 560,000 followers, adopted a more cautious stance. Instead of buying into the current strength, the trader indicated a preference for waiting on the sidelines for a more substantial pullback.
He identified the $290 level as a potentially attractive entry point, suggesting that a decline towards this area would present a "good load up opportunity" for traders seeking a more favorable risk-to-reward ratio.