ZEC Whales Target $803: Analyzing $1.25 Million in Profit and New Demand

Zcash (ZEC) has demonstrated significant movements in its price recently, with whales taking strategic positions in the market. The combination of increased trader confidence and rising Open Interest has sparked interest in potential further price increases. However, with rising leverage, there may be chances for corrections. This article delves into current trends and predictions surrounding ZEC.

Key Takeaways

Whale positions and a 9.7% increase in Open Interest show new trader confidence and enhanced buying pressure.
Ongoing accumulation could push prices toward $803, but rising leverage might lead to corrections near $480.
Zcash broke out of a long consolidation phase, reaching a new high of $744 before facing price volatility.

Recent Price Movements in Zcash

Zcash (ZEC) recently experienced a breakout from its previous trading range, climbing to $744. However, following this peak three days ago, the token has encountered significant price fluctuations: it rose above $700, fell to $488, and then rebounded back over $600. As of the latest report, ZEC was trading at $574.92, showing a decline of 4.42% in the last 24 hours.

Futures Market Shows Increased Activity

The rise in Zcash prices has led to a noticeable increase in Futures market engagement. Over the past month, the Futures Taker CVD has remained consistently positive, indicating a predominance of buyers in the market.

Zcash Taker CVD

Data from Lookonchain has pinpointed a notable buyer: a whale who seized the opportunity to purchase ZEC when the price dipped to $509. This whale injected $6.27 million into Hyperliquid and executed a limit-long order for 20,800 ZEC, amounting to $12.12 million. As prices climbed, the whale's unrealized profits reached $1.51 million, though it eventually settled with a realized profit of $1.25 million.

Moreover, participation in the Futures market has surged, with CoinGlass reporting that the Zcash Open Interest has increased by 9.77% to $939.31 million, reflecting a heightened flow of capital towards futures trading.

Zcash Derivatives Data

The Long/Short Ratios across major exchanges further support this bullish sentiment. According to CoinGlass, the overall Long/Short Ratio for 24 hours stands at 1.0149, and the ratio among Binance's top traders has hit 1.1098, indicating substantial long positions.

Strengthening Spot Accumulation

In addition to futures trading, on-chain data indicates a rise in Spot accumulation. The Accumulation/Distribution (A/D) Line has steadily increased to 5.33 million, signifying consistent buying interest. Notably, large trading volumes have occurred near daily highs, suggesting active participation from institutional investors or whales.

ZEC Accumulation/Distribution

Importantly, the Sequential Pattern Strength has remained positive for three consecutive weeks, which underscores the belief that the current price rally stems from genuine demand rather than mere speculation.

If these trends continue, ZEC has the potential to retest the $698 mark and could eventually aim for $803. Nevertheless, if excessive leverage leads to significant liquidations, the token might find support again around the $480 level before stabilizing.