Crypto: Zcash explodes to $735 and makes a resounding comeback

While bitcoin is mired in divisive institutional adoption, a former private token is making a spectacular comeback. In five weeks, Zcash (ZEC) went from oblivion to a surge of +900%, reaching up to $735 this Friday, a high not seen in almost eight years. Stabilized around $666, the asset still showed an increase of 74% over the week. This unexpected rebound shakes the market and reignites the debate over crypto privacy.

Zcash shatters the counters: a look back at a historic rally

This Friday, November 7, Zcash shook the market by soaring 33% in a few hours, reaching a peak at $735 before falling back to around $666, while ECC had unveiled its technical strategy for a more confidential and robust token.

A surge which led to the liquidation of more than $51 million in short positions, propelling ZEC into third position among the most liquidated assets of the day, behind bitcoin ($150 million) and Ethereum ($146 million).

Here are the main key elements and events to remember:

• +33% in 24 hours on November 7, an intraday peak at $735, and a close at $666;

• +74% increase over the week, a performance among the strongest in the top 100 crypto;

• Massive liquidations: more than $51 million in short positions liquidated, all products combined;

• ZEC becomes the third most liquidated asset, after BTC and ETH;

• +900% in 5 weeks, after stagnating around $40 for more than three years;

• Despite this jump, Zcash remains 79% below its ATH of $3,191 (2016);

• This price reached is the highest since January 2018.

The origin of this explosion is not only based on the sudden interest of the market, but also on a domino effect linked to the historical low liquidity of the asset and the leverage used by many traders.

A resurgence fueled by distrust and politics

Beyond just market movements, the rise of Zcash also seems fueled by a deeper concern. Several analysts link this rally to growing doubts about bitcoin's ability to remain a truly decentralized and privacy-friendly tool.

Will Owens, analyst at Galaxy Digital, talks about a spiritual heir to bitcoin. “Zcash is gradually establishing itself as an alternative to Bitcoin”, notehe said in a report. He explains that interest in the ZEC is based on “its ideals of confidentiality and decentralization dear to cypherpunks”in a context where the institutional adoption of bitcoin provokes distrust and skepticism.

While bitcoin is approaching major financial centers via ETFs and derivative products, Zcash is establishing itself as a radical alternative, based on anonymity and technological independence.

However, another factor played a significant triggering role: the sentencing this Thursday, November 6, of Keonne Rodriguez, developer of Samourai Wallet, to five years in prison. This verdict, in an unlicensed money transmission case, was sharply criticized by digital privacy advocates.

The severe nature of this sentence, the maximum penalty, may have been perceived as a warning signal by the crypto community, accelerating the renewed interest in projects focused on native confidentiality, such as Zcash. As such, the ZEC rally would not only be speculative, but also reactive to a tense legal and political atmosphere around privacy-preserving technologies.