Zcash Price Prediction: ZEC Surges 1,500% from Low Point, Races Toward $1,000

Zcash surged from a September low of $32 to $542, an increase of over 1,500%, outperforming 83% of the top 100 cryptocurrencies over the past 90 days. Technical analysis indicates that an upward trendline support is guiding the rally, with Fibonacci extension levels projecting potential targets at $1,669 and $3,428.

Revival of Privacy Coins and the 1,500% Surge Behind It

(Source: CoinMarketCap)

In the past 90 days, only 17 of the top 100 cryptocurrencies have gained in value, with privacy coins ZEC, XMR, DASH, and DCR leading the industry. This contrarian performance suggests that privacy narratives are regaining market attention. In early October, Zcash’s price soared from $50 to over $130, reaching its highest level since April 2022, though still 96% below its all-time high of $3,193 set in 2016.

Trading volume today surged nearly 6% to $1.6 billion, with shielded transaction volume increasing over 60% compared to the previous quarter. Market participants attribute this growth to renewed interest in zk-SNARKs, a zero-knowledge proof system that enables transaction validation without revealing sender, receiver, or amount details. This technology allows users to choose privacy settings, making it attractive amid tightening regulations.

Naval Ravikant described Bitcoin as “insurance against fiat currency,” and Zcash as “insurance against Bitcoin,” implying ZEC can protect users from Bitcoin’s transparency. This positioning resonates particularly in the current environment of increasing surveillance concerns. The protected supply has reached a record high of about 16 million ZEC, accounting for over 76% of the maximum supply, indicating a rapidly growing demand for privacy features.

From a fundamental perspective, these improvements support a bullish price outlook. As more ZEC is locked in shielded transactions, circulating supply decreases, creating supply-demand imbalances that could push prices higher. This mechanism is similar to Bitcoin’s scarcity narrative but enhanced by Zcash’s unique privacy proposition.

Institutional Entry and Regulatory Threats Coexist

Meanwhile, Grayscale announced the launch of a private placement for Zcash Trust, offering qualified investors exposure through structures similar to its Bitcoin and Ethereum products. The news boosted market confidence, with ZEC’s market cap jumping from $700 million to over $1.8 billion. Currently, its market cap approaches $9 billion. Grayscale’s involvement signals institutional recognition, as the asset manager with hundreds of billions in crypto assets shows confidence in Zcash’s long-term prospects.

However, a major regulatory concern is the upcoming EU Anti-Money Laundering (AML) regulation, effective in 2027, which explicitly bans privacy-enhancing cryptocurrencies. Article 79 prohibits banks and crypto service providers from handling anonymous tokens (including Monero and Zcash) and anonymous accounts. This legislation introduces significant uncertainty for Zcash’s price prospects, given the EU’s substantial share of global crypto trading volume.

Dual Impact of Institutional Adoption and Regulation

Institutional endorsement boosts liquidity: Grayscale Trust provides a compliant investment channel, potentially attracting hundreds of millions of dollars.

Regulatory bans limit market size: The 2027 EU ban may force European exchanges to delist ZEC, shrinking accessible markets.

Technical advantages counter regulatory pressure: zk-SNARKs’ selective privacy features may offer a compliant pathway.

Despite regulatory risks, Zcash’s price outlook remains optimistic, as US and Asian markets tend to be more tolerant of privacy coins, and technological innovations could help balance privacy with compliance.

Technical Analysis: Feasibility of $1,669 Target

(Source: TradingView)

ZEC is currently trading at $542, up 29.67% for the week, maintaining an upward channel since its September low. Trendline analysis shows higher lows while staying within an uptrend, a classic bullish pattern. Using Fibonacci extensions, some analysts forecast resistance levels at $1,669 (3.618 extension) and $3,428 (4.236 extension).

The current price near $521 is at the 2.618 Fibonacci extension, a significant milestone, as major corrections historically tend to start from this level. On a 15-minute chart, after multiple successful tests of the lower trendline support, consolidation appears to be happening near the upper boundary. Longer wick shadows suggest selling pressure at current levels, hinting at a short-term pullback before further upward movement.

Volume characteristics provide real liquidity signals, making the price action more interpretable. ZEC’s rise into the top-tier cryptocurrencies offers more opportunities for technical validation. From a technical perspective, the $1,669 target is reasonable, provided certain conditions are met: the trendline support (~$480–$490) must hold, volume should continue to expand confirming a breakout, and market sentiment must remain focused on privacy coins.

Path to the $1,000 Psychological Level

(Source: TradingView)

The next key move for ZEC depends on whether it can maintain the current upward trendline support (~$480–$490) and challenge resistance at $550–$600. A breakout above $600 with volume confirmation could generate momentum toward the $1,000 psychological barrier. Conversely, a breakdown of the trendline might signal a correction back to $350–$400, invalidating the bullish structure.

$1,000 is a critical psychological milestone for Zcash, representing roughly an 85% increase from current levels and a round number that could attract profit-taking. If this level is broken successfully, the next target would be the Fibonacci extension at $1,669, implying an additional 67% upside.

Three Key Factors for Breaking $1,000

Growing shielded supply: If locked-in amounts exceed 80% of max supply, supply tightness could drive prices higher.

Continued institutional inflows: If Grayscale Trust attracts hundreds of millions of dollars, strong buying pressure could develop.

Clearer regulatory framework: If US or major markets establish explicit privacy coin compliance rules, uncertainty could diminish.

From a risk perspective, falling below the trendline support (~$480) could trigger technical sell-offs, potentially pulling prices down to $350–$400. Traders should monitor support levels closely and look for opportunities to add positions if resistance at $600 is convincingly broken.