Zcash Hits $1,000 Milestone as Short Sellers Get 'zidelined'
Zcash has reached new heights, trading above $1,000 for the first time since its launch in 2016. The privacy-focused cryptocurrency's market capitalization now stands at $17 billion, ranking it 11th among all digital assets and surpassing dogecoin's $13.4 billion market cap.
Arthur Hayes, a well-known figure in the crypto space, celebrated Zcash's milestone by posting a chart showing its price action over the past few months. The chart illustrates how ZEC bottomed near $250 in early June, spent July between $400 and $580, before surging after August 21.
The surge has left many short sellers reeling, with approximately $34.5 million in short positions liquidated on Friday as open interest peaked near $2.15 billion. This comes as the Grayscale ZCSH ETF continues to gain traction, holding $414.7 million in assets since its conversion from the nine-year-old Zcash Trust on August 25.
Matt Hougan, chief investment officer at Bitwise, and Qiao Wang, founding partner of Alliance DAO, have both publicly endorsed Zcash as a core holding option, alongside Bitcoin. However, as with any market, there are risks involved, and it is essential to remain cautious given the significant price increase over the past year.
As Zcash continues on its upward trajectory, it remains to be seen how long this trend will persist and whether it can sustain itself amidst a potentially volatile market.