How did Zcash overcome the collapse of the crypto market to reach its highest level in 4 years?

Zcash (ZEC) has stood out as one of the few altcoins to bounce back strongly amid the harshest wave of liquidation in cryptocurrency history recently.

As nearly 20 billion USD in cryptocurrency using leverage vanished after President Trump's surprise tariff announcement, this privacy-focused cryptocurrency reached its highest level in four years.

Why has the price of Zcash increased?

According to data from Coinphoton, the price of ZEC is currently nearing the 300 USD mark before adjusting down to around 290.06 USD. Despite the slight adjustment, ZEC still recorded a 31% increase on the day—the strongest increase since the end of 2021, when it last traded near 295 USD.

This bounce back continues a growth trend for a digital asset that has increased by over 100% this week and nearly 450% in the past month.

ZEC Price Chart | Source: CoinphotonThe surge of Zcash is supported by cryptocurrency traders redirecting their investments towards privacy-focused projects, especially in the context of increasing financial scrutiny from global authorities.

Moreover, the positive performance of the token has been amplified by the support from reputable figures in the industry such as Barry Silbert, the founder of Digital Currency Group. He has shared several updates related to Zcash in recent days, contributing to increased attention towards this coin.

In addition, some members of the community have pointed out that Zcash is still undervalued compared to its fundamentals.

Mert Mumtaz, CEO of Helius Labs, argues that ZEC has operated as a fully distributed network, using the proof-of-work mechanism (proof-of-work) for the past nine years. According to him, this project provides users with autonomy, advanced encryption, and a token mechanism similar to Bitcoin, but with a market capitalization only a fraction of coins like Litecoin or Cardano.

Mumtaz also emphasized a "bounce back" in development activities, with many new developers focusing on improving performance and integrating exchanges.

In this regard, he affirmed that ZEC "is the clearest mispricing in the cryptocurrency space," while also stating:

"The community is harnessing the power of cryptocurrency and the public market to breathe new life into the project."

Launched in 2016, Zcash uses zero-knowledge proof technology to enable private transactions without revealing information about the sender, receiver, or amount. These features are currently lacking in leading cryptocurrencies like Bitcoin and Ethereum.

Therefore, as governments around the world increase financial oversight, Zcash's protected trading model is gradually regaining its important position in the eyes of privacy-conscious users.

Mr. Teacher