Zcash Pulls Back After Reaching $1,600, Will It Bounce Back?
Zcash has pulled back after reaching its highest price in over $1,600, and analysts are wondering if it will bounce back or continue to slide. The token's value dropped by 6.14% to $1,503.29 over the past 24 hours, underperforming a broader market dip that saw Bitcoin fall 3.59% and the total crypto market cap drop 3.7%.
The main reason for this decline is profit-taking after Zcash's rapid price increase from around $400 to over $1,600. According to technical analysis, if the token holds above its current support level of $1,451.77, it could be consolidating before a potential next leg up. However, if it breaks below this level, it may signal a deeper correction towards $1,400.
Reports have surfaced that spot Zcash ETFs have absorbed over $284M in investment so far this September, with more than a week still left in the month. This could provide a fundamental tailwind for Zcash's price in the coming days and weeks. However, analysts caution that these figures are not verified independently, and crypto markets can move sharply within hours.
Looking ahead, if Zcash can reclaim its previous high of $1,670.96, it may open the path towards the 1.618 Fibonacci extension at $2,025.56. However, a close below $1,451.77 would put the recent rally in doubt and risk a deeper slide.