Zcash Price Analysis: ZEC/USD Trades at Its Highest Level in Six Weeks as Fundamentals Propel Prices Forward
- ZEC/USD upside momentum remaining on course; a green daily candle on Friday, is vital for this continued move north.
- Fundamental updates around Zcash remain strong, with still much anticipation around pending developments.
The Zcash native token (ZEC), since its bounce on 31st October, has made solid advances to say the least. ZEC/USD received firm bidding on the lower part of the triangular pattern at $113.10. The price had initially been contained within this pattern since the start of September. The latest bull run saw a move up to a high print on 8th November at $139.65, that was a chunky gain of 23%. In today’s session, the price is swinging between losses and gains, with bulls looking to resume upside.
Zcash News Flow
Earlier in the week, it was covered that the Zcash foundation backed a funded development and execution of ProgPOW, a POW algorithm that will be removing the upper hand that specialized ASICs have when mining for ZEC. The move should also make Zcash mining more decentralized. This is expected to make the coin more secure and attractive to its users – a development of which could have contributed to the recent upside seen for ZEC/USD.
Elsewhere, there is much chatter and anticipation across the community concerning zk-snarks, or Zero-Knowledge Succinct Non-Interactive Argument of Knowledge. Recently, this technology has gained strong interest from Ethereum. It is considered a potential near-term scaling solution for Ethereum’s blockchain.
Lastly, Zcash late last month, on October 28, launched its heavily anticipated ‘Sapling’ upgrade. This brought much in the form of benefits and features to its ecosystem. As mentioned in the previous article, “Sapling introduces new shielded addresses with significantly improved performance: a time reduction of 90% for constructing transactions, and a memory reduction of over 97%”. Instant benefits were noted by users.
Technical Review – ZEC/USD
The bulls have been making solid ground since the price’s breakout from the previously mentioned triangular pattern. Current momentum is well behind the market bulls, as they look to retest the 27th September high print, $146. This is within a strong touted supply area. The price on several occasions at the back-end of September attempted and failed to break above this area, Forcing a deep sell-off over a period (some 25% was dropped).
A break above the supply zone pointed out could see the bulls pilling in, resulting in further upside pressure. This could very well force a fast move towards $160+, ZEC/USD having last traded at these heights back on 6th September. Finally, this appears to be the only major barrier in the way of the big psychological $200 mark. The price has not traded here since 2nd August, when heavy selling was hitting the ZEC/USD.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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