Zcash News Update: The Strength of Privacy and the Risks of Hype—Zcash’s $13 Billion Bet on Market Speculation

Zcash (ZEC) has dropped 30% since reaching its November high of $750, raising fears of a steeper downturn as experts highlight underlying vulnerabilities in the privacy coin’s recent explosive rally. After soaring 1,460% in just two months, ZEC is now trading around $630, with technical charts, blockchain data, and overall market mood sending mixed messages.

ZEC’s recent price movement has been likened to BNB’s pattern before its crash, with trader NebraskanGooner pointing out signs of “parabolic exhaustion” on the daily chart.

the price could fall to the $220–$280 range, representing a 50–60% drop from where it is now. The four-hour chart’s symmetrical triangle formation points to more price swings ahead, by early 2026. At the same time, , but falling funding rates and negative sentiment in futures open interest suggest traders are leaning bearish.

Profitable mining has driven ZEC’s hash rate higher, with the Z15 Pro miner offering an 89-day payback and an annualized return of 410%—a figure rarely seen in proof-of-work history. However, this has sparked concerns about a possible “hardware-price scissors” effect, where a sharp price decline could make mining unprofitable once hash rate peaks. ZEC’s network hash rate—comparable to a medium-sized

mining operation—also leaves it exposed to 51% attacks that could cost as little as $1 million, far below the security standards of leading blockchains.

Despite ZEC’s price rally, on-chain usage remains subdued, with daily transactions averaging only 15,000–18,000 and shielded transfers making up less than 10% of all activity. This gap between price and actual use has led some analysts to doubt whether the token’s $13 billion fully diluted valuation can be justified. “ZEC’s surge is fueled by speculative FOMO rather than genuine adoption,” said Lacie Zhang from Bitget Wallet.

ZEC’s price continues to closely track Bitcoin, which has dropped 19% since late October amid global economic uncertainty. “When Bitcoin drops,

typically follows,” commented Gerhard from Bitcoin Strategy, adding that ZEC’s recent outperformance is “unusual in a bear market.” Regulatory pressures are also mounting, as privacy coins face delistings on major platforms like Kraken in some regions.

Although crypto veterans such as Arthur Hayes and Tyler Winklevoss remain optimistic about ZEC’s long-term prospects, citing its pioneering role in zero-knowledge proofs, the short-term outlook is clouded by immediate risks.

following reports of paid shilling and fake news headlines promoting $100,000 price targets.

ZEC’s future depends on Bitcoin’s stability, regulatory shifts, and whether its core fundamentals can support its high valuation. For now, the coin faces a pivotal moment: Will it recover its parabolic uptrend, or will the $200–$300 range become its new norm? As one analyst put it, “ZEC’s journey serves as a warning—privacy is its strength, but hype is its Achilles’ heel.”