Zcash Latest Updates: ZEC Reaches Highest Level in 7 Years as $18.8M Gets Liquidated, Yet Derivatives Indicate Weakness

Data from Coinglass reveals that in the last 24 hours, the total liquidation value of

perpetual futures contracts across all exchanges has hit $18.8 million, referencing statistics from . This amount is the second largest, trailing only behind , , and , highlighting the increased volatility of this privacy-centric digital asset. Lookonchain also reported that a short position opened on Hyperliquid on October 11 is now facing an unrealized loss of $14.5 million after ZEC’s price soared to $586, illustrating the significant risks associated with leveraged trading in fast-moving markets.

Zcash (ZEC) has bucked the broader downtrend in the crypto market, reaching a seven-year peak of $586 and crossing the $500 mark for the first time since 2018, as reported by . The recent surge in ZEC’s value is attributed to heightened institutional participation and increased use of its shielded pool, which now holds over 5 million ZEC—worth $2 billion—according to . This accounts for 30.41% of Zcash’s total circulating supply, reflecting strong confidence from long-term holders who value privacy and reduced selling pressure.

The rapid appreciation of ZEC has also fueled a spike in derivatives trading. Open interest in ZEC futures has jumped to $713 million, marking a 25% rise in just one day, based on Lookonchain data, while futures trading continues to outpace spot volumes. Many traders are hedging against declines, as evidenced by sharply negative funding rates that indicate a preference for short positions, according to Coindesk. Meanwhile, Zeta Global’s Q3 report showed a 26% increase in revenue, reflecting broader optimism about crypto infrastructure, though its stock fell 5.22% after the earnings release, as noted by

Analysts highlight Zcash’s technical strength as a major factor. Over the past week, ZEC’s price has climbed 48.74%, with one large holder securing $2.7 million in unrealized profit from a 32,000 ZEC long position, according to

. However, derivatives data points to potential vulnerability: $30.27 million in long liquidations on Binance could spark a correction if prices fall below $450, as reported by Yahoo Finance. Additionally, a bearish divergence in the RSI suggests could slow, even though strong spot inflows and Chaikin Money Flow readings continue to support a bullish outlook (analysis from Yahoo Finance).

On the macroeconomic front, the Federal Reserve’s cautious approach to rate reductions adds further uncertainty. Governor Philip Jefferson described current interest rates as “somewhat restrictive,” implying a gradual move toward a neutral stance, according to

, which may weigh on riskier assets like cryptocurrencies. In parallel, Binance CEO Richard Teng is under scrutiny for the exchange’s listing of a Trump-affiliated stablecoin, USD1, amid allegations of favoritism, as reported by

Looking ahead, analysts have set Zcash’s next major price target at $594, warning that failure to break above $438 could test buyer conviction, according to Yahoo Finance. For now, the coin’s growing shielded adoption and institutional demand point to a resilient outlook, even as leveraged traders prepare for possible price swings.