ZCash [ZEC] was challenging the $500 psychological round-number resistance level once again. In the past 24 hours, the privacy token has garnered a 51.5% increase in daily trading volume and an 17.16% increase in Open Interest.
Its 24-hour gains measured 7.04%. This move higher began towards the end of June, when the $370 area was tested as support.
AMBCrypto reported that the ZCash Ironwood pool had been “formally verified” to rule out undetectable counterfeiting bugs. This caused a sharp correction just over a month ago that only began to stop after the proposal for a new auditable Ironwood pool.
Is ZCash mounting a comeback?
Source: ZEC/USDT on TradingView
On the 1-day chart, the $500-$530 area has been a key horizontal supply/demand zone since December 2025. The price action was bullishly poised on this timeframe. A daily session close below $299.6 is needed to flip this bias bearishly.
This swing low, made in April, has yielded a push towards new highs. Hence, it was the point that swing traders and investors will be keeping an eye on.
The rally from $20.71 to $750 marked the major bullish impulse move on the weekly timeframe. Using this move, Fibonacci retracement levels (yellow) were plotted.
The current bullish bias is supported by the longer-term structure and the fact that the 78.6% retracement level at $176.78 had been defended during the correction earlier this year.
The technical indicators were also bullish. The CMF was quietly climbing higher in July, and its +0.12 reading signaled strong buying pressure. The Awesome Oscillator was above the zero line to show upward momentum as well.
Traders’ call to action- Cautiously bullish
Source: ZEC/USDT on TradingView
The price had formed a higher low at $368 towards the end of June. However, its structure on the 4-hour timeframe was bearish, though the weekly and daily were bullish.
Therefore, as things stand, swing traders and investors need to be cautious. The 78.6% retracement level at $560 will be a powerful obstacle to bullish hopes.
ZCash presented a conundrum to the traders, and the $644 was the local swing level that needed to be broken to confirm the continued uptrend.
Until $560 and $644 are reclaimed, bulls can be cautiously optimistic but also wary of another rejection from these key resistance zones.
Final Summary
- The ZCash price action was bearish in the past six weeks but has been pushing higher.
- The privacy token still has a higher timeframe bullish bias despite the deep correction, but there are key overhead resistances to watch out for.
