What could affect the price of ZEC?
Zcash is currently balancing between growing privacy use and market ups and downs.
- Leadership Changes – Key developers leaving could slow progress (Bearish)
- Regulatory Update – SEC ended investigation with no charges (Bullish)
- Privacy Growth – 30% of ZEC is now private; recent upgrades improve privacy (Bullish)
Deep Dive
1. Leadership Changes & Development Concerns (Bearish)
What happened: On January 8, 2026, the entire Electric Coin Company team resigned after disagreements with Bootstrap, the nonprofit that oversees Zcash. The network still works, but uncertainty about future plans—like protecting against quantum computing threats—might slow interest from big investors.
Why it matters: When leadership leaves suddenly, it often causes price drops. ZEC fell 17% after the news. Still, the former team is starting a new project focused on Zcash technology, which could help keep development on track over time.
2. Privacy Demand vs. Regulation (Mixed)
What happened: About 30% of ZEC coins are now held in “shielded” wallets, which keep transactions private, thanks to improvements from the Sapling upgrade (CoinMetrics). At the same time, the SEC ended a 2.5-year investigation without taking action on January 16, 2026, showing Zcash’s approach meets regulatory standards.
Why it matters: This regulatory clarity might attract institutions that avoid coins like Monero due to privacy concerns. However, new European Union rules (MiCA) are still considering restrictions on privacy-focused coins, which could affect exchanges.
3. Big Buyers & Market Signals (Bullish)
What happened: A large investor purchased 76,661 ZEC (about $31 million) from Binance on January 17, while overall trading flow stayed low for five days—a sign of accumulation. The price is holding above $399 support, and breaking above the 50-day moving average ($439) could push prices higher.
Why it matters: Big buyers see value under $400, but current indicators like MACD (-15.21) and RSI (38) suggest sellers still have control. If ZEC climbs above $439, it could trigger a 15-20% price increase, aiming for around $500.
Conclusion
Zcash’s strong privacy features and positive regulatory news help balance out leadership uncertainties, so expect some price swings soon. Watch the $399 to $439 range closely: falling below $399 could lead to $370, while breaking above $439 might push toward $500. Will shielded transactions reach 40% of all ZEC by mid-2026, making Zcash the “HTTPS of money”?
What are people saying about ZEC?
Talk around Zcash (ZEC) is swinging between hopes for a price breakout and worries about a pullback. Here’s what’s trending right now:
- Technical traders see $450 as a key level to confirm a bullish move
- Prediction markets suggest an 85.8% chance ZEC stays below $550
- Some analysts warn $234 is a risky support level to watch
- Long-term investors are aiming for $600+ if Bitcoin’s price steadies
Deep Dive
1. @zcashmeta: Bullish if ZEC breaks above $450
"Here is the latest chart for Zcash. We need to stay above 420 and break higher resistance. I would be fully bullish if we break above 450."
– @zcashmeta (6.3K followers · Dec 19, 2025)
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What this means: This is a positive sign for ZEC. If the price moves above $450, it could trigger automated buying and attract traders looking for momentum, which may push the price up faster.
2. @MusicByVirtuals: Prediction market sees 85.8% chance ZEC stays below $550
"Current Price Prediction: Above $550: 14.2% | Below $550: 85.8%"
– @MusicByVirtuals (6.2K followers · Nov 28, 2025)
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What this means: This suggests a bearish outlook for ZEC in the near term. Most traders don’t expect the price to rise above $550 soon, which could discourage buyers looking for quick gains.
3. @enri_dex: Bearish, sees $234 as a key entry point
"$ZEC Zcash another level I expect is $234 area – the 50% retracement. If Zcash loses control, key entries should be at 330-290-235."
– @enri_dex (3.8K followers · Jan 10, 2026)
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What this means: This is a warning that ZEC could drop further, with $234 seen as a potential bottom or buying opportunity. If support levels break, selling pressure might increase.
4. @AltcoinSherpa: Bullish $600+ target if Bitcoin stabilizes
"$ZEC still long... I think ZEC goes to $600+ as long as BTC stabilizes."
– @AltcoinSherpa (260K followers · Dec 29, 2025)
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What this means: This is optimistic for ZEC, but it depends on Bitcoin’s price holding steady. Since Bitcoin often influences the whole crypto market, its stability could help Zcash reach higher prices.
Conclusion
The outlook for Zcash is mixed. Some traders are hopeful for a breakout above $450, while others are cautious, expecting a drop toward $234. Keep an eye on the $420 support level—if ZEC stays above it, that could confirm upward momentum. But if it falls below, it might lead to more selling and price declines.
What is the latest news about ZEC?
Zcash is making progress with regulatory clarity and internal changes, while large investors are buying more coins despite some price challenges.
- SEC Investigation Ends (January 16, 2026) – U.S. regulators closed a 2.5-year review without penalties, boosting confidence in Zcash.
- CashZ Wallet Launch (January 9, 2026) – Former developers created a new privacy-focused wallet after leaving due to disagreements.
- $31 Million ZEC Whale Purchase (January 18, 2026) – A big investor bought a large amount of ZEC, but the price still faces resistance near $400.
In-Depth Look
1. SEC Investigation Ends (January 16, 2026)
What happened: The U.S. Securities and Exchange Commission (SEC) finished its review of the Zcash Foundation without taking any enforcement action. This investigation started in August 2023 and focused on Zcash’s privacy features and whether it followed anti-money laundering rules.
Why it matters: This is good news for Zcash because it removes a major regulatory hurdle. With clearer rules, more institutions and exchanges might feel comfortable using Zcash, especially its private transaction features. However, privacy coin regulations worldwide are still changing. (Cryptonews)
2. CashZ Wallet Launch (January 9, 2026)
What happened: Some former developers from the Electric Coin Company left after disagreements about how Zcash is managed. They started a new company and released "cashZ," a wallet focused on privacy and built on existing Zcash technology. They aim to improve Zcash’s usability without changing its core system.
Why it matters: This news had a mixed impact. While ongoing development is positive, the departure caused a temporary 20% drop in Zcash’s price. The wallet’s success will depend on how well users adopt its new features. (Coinspeaker)
3. $31 Million ZEC Whale Purchase (January 18, 2026)
What happened: A large investor moved 76,661 ZEC (worth about $31.65 million) out of Binance, during a period when more ZEC was leaving exchanges than coming in. This suggests accumulation by big players.
Why it matters: This could indicate that big investors see value at current prices and are buying more ZEC. However, the price is still struggling to rise above the $439 resistance level and could fall to $392 if it doesn’t improve. It’s important to watch if buying continues to outweigh selling pressure. (AMBCrypto)
Conclusion
Zcash has gained important regulatory clarity and shows developer commitment, but its price remains fragile. The key question is whether growing use of private transactions and strong buying by large investors can overcome current technical challenges.
What is expected in the development of ZEC?
Zcash is focusing on improving privacy, upgrading wallets, and enhancing its core technology.
- cashZ Wallet Launch (Q1 2026) – A new privacy-first wallet created by the former Electric Coin Company (ECC) team, built on the Zashi wallet code.
- Ztarknet Layer 2 Rollup (2026) – A new Layer 2 solution inspired by Starknet that adds programmable privacy features.
- Halo 2 Protocol Upgrade (2026) – Updates to improve security against future quantum computers and boost scalability.
- Shielded Transaction Growth – Ongoing improvements to make private transactions easier and more common by default.
In-Depth Look
1. cashZ Wallet Launch (Q1 2026)
What’s happening: The former ECC team is launching cashZ, a new wallet based on the Zashi codebase. It aims to make private (shielded) transactions simpler and improve how users control their own funds. Early sign-ups started in January 2026, and current Zashi users can switch over smoothly (Bitcoinist).
Why it matters: This is good news for Zcash (ZEC) adoption because it makes privacy features easier for everyday users. However, disagreements within the community after ECC’s departure might slow down wider collaboration.
2. Ztarknet Layer 2 Rollup (2026)
What’s happening: Ztarknet is a new Layer 2 solution inspired by Starknet technology. It allows private smart contracts using advanced cryptographic proofs called Circle-STARKs. It works on top of Zcash’s main blockchain, keeping transactions private while adding new programmable features. Testing started in late 2025, with a developer release planned for 2026 (Eli5DeFi).
Why it matters: This could expand Zcash’s use in decentralized finance (DeFi), but success depends on developer interest and the ability to connect with other blockchains.
3. Halo 2 Protocol Upgrade (2026)
What’s happening: The Halo 2 upgrade removes the need for trusted setups in Zcash’s zero-knowledge proofs (zk-SNARKs), improving scalability and protecting against future quantum computer threats. This builds on the 2025 Orchard upgrade, which lowered transaction fees by about 30% (CoinDesk).
Why it matters: This strengthens Zcash’s privacy technology over the long term. However, delays could happen due to team changes.
4. Shielded Transaction Growth
What’s happening: The Zashi Wallet now defaults to shielded transactions and automatically rotates addresses to increase privacy. Zcash is also partnering with NEAR Protocol for cross-chain transactions and Circle for private stablecoin swaps (Bitrue).
Why it matters: If more users adopt shielded transactions, it will boost privacy on the network. Still, regulatory concerns about privacy coins remain a challenge.
Conclusion
Zcash is investing heavily in privacy improvements through new wallets, Layer 2 solutions, and protocol upgrades. While the split from ECC and the launch of cashZ bring some risks, the focus on making shielded transactions easier and enabling cross-chain features could strengthen ZEC’s position in the privacy-focused Web3 ecosystem. The question remains whether positive regulatory developments, like the SEC’s closed investigation in late 2025, will ease fears about exchange delistings.
What updates are there in the ZEC code base?
Zcash’s latest software updates focus on improving the network and preparing for important changes, including fixes that make wallets work better.
- NU6.1 Testnet Activation (v6.3.0) – Launches Network Upgrade 6.1 on the test network, updating rules and adding a testing mode for developers.
- Orchard Bug Fix (v6.3.0) – Corrects errors in wallet balance calculations during certain private transactions.
- zcashd Deprecation Plan (v6.2.0) – Announces plans to replace the current software by 2025, disabling some old features.
Deep Dive
1. NU6.1 Testnet Activation (v6.3.0)
What’s happening: This update activates new network rules on Zcash’s testnet at a specific block number. It also lets developers set custom activation points for testing purposes.
Why it matters: Since this is on the testnet (a practice environment), it doesn’t affect ZEC directly yet. But it’s an important step to improve security and performance before these changes might be added to the main network after community approval. (Source)
2. Orchard Bug Fix (v6.3.0)
What’s happening: A bug was fixed that caused wallet commands like getbalance and gettransaction to show incorrect transparent balances when users spent shielded Orchard notes (a privacy feature).
Why it matters: This fix improves wallet accuracy and builds user confidence by ensuring transaction fees and balances are displayed correctly during private transactions. This is a positive update for ZEC users. (Source)
3. zcashd Deprecation Plan (v6.2.0)
What’s happening: The current full node software, zcashd, will be phased out by 2025. Full nodes will move to a new program called zebrad, and wallets will transition to Zallet. Some older commands, like z_getbalance, are now disabled by default.
Why it matters: This update modernizes Zcash’s infrastructure but means users and node operators need to switch to new software. Operators must update their settings to acknowledge this change. This is a neutral update but important for future network health. (Source)
Conclusion
These updates focus on making the test network more stable and improving wallet reliability while preparing for the eventual replacement of zcashd. The transition to new software tools will be key to how smoothly ZEC’s development moves forward.
Why did the price of ZEC fall?
Zcash (ZEC) dropped 2.5% to $396.28 over the past 24 hours, underperforming the overall crypto market, which was mostly flat (+0.02%). Here’s why:
- Technical Breakdown – The price fell below a key support level at $400, signaling a bearish trend.
- Whale Buying Didn’t Help – A large $31 million purchase didn’t stop the price from falling.
- Regulatory Concerns – Exchanges are reviewing privacy coins like ZEC due to new regulations.
In-Depth Analysis
1. Technical Weakness (Bearish Signals)
What happened:
Zcash’s price dropped below its 20-day and 50-day moving averages (around $441 and $457), which are important indicators traders watch. The MACD indicator, which helps show momentum, suggests the price is falling faster. The $400 level, a key psychological and technical support point, also didn’t hold.
Why it matters:
This breakdown often triggers automated selling and stop-loss orders from traders, pushing the price down further. The Stochastic RSI, another momentum indicator, shows there’s no immediate sign of the price being oversold, meaning the drop could continue.
Watch this:
If ZEC closes below $392 (the low from January 17), it could fall further toward $364, which is the price level where the year started in 2026.
2. Whale Buying Didn’t Stop the Drop (Mixed Impact)
What happened:
A large investor (often called a “whale”) bought 76,661 ZEC worth about $31.65 million on January 17 (source). Despite this, the price still fell by 2.5%.
Why it matters:
Usually, big buys like this show confidence and can push prices up. But Zcash has lower trading volume compared to bigger coins like Bitcoin, so the impact was limited. Also, retail traders kept selling, which outweighed the whale’s buying.
3. Regulatory Risks for Privacy Coins (Bearish Impact)
What happened:
Several exchanges are reviewing their listings of privacy-focused coins like Zcash due to new European regulations (MiCA) and guidance from the Financial Action Task Force (FATF). Zcash has faced delistings before, such as on Bithumb and Upbit in 2025.
Why it matters:
Investors worry that stricter rules could reduce how easily they can buy or sell ZEC. Although Zcash offers privacy features with compliance tools (called view keys), regulatory uncertainty still weighs on the price. A recent SEC investigation closure brought some positive news but didn’t fully ease concerns.
Summary
Zcash’s recent price drop is mainly due to technical factors outweighing support from large buyers, combined with ongoing regulatory concerns around privacy coins. While some investors are buying at lower prices, the short-term outlook remains cautious until ZEC can climb back above $436 (its 50-day moving average).
Key level to watch: Can ZEC hold above $392 before the weekly close on January 20? If not, the price could fall further toward the October low of $361.
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