Zcash Pumps 20% as Grayscale ETF Sparks Rally

The price of Zcash (ZEC) has surged by approximately 20% in the last 24 hours, causing it to enter the top 10 cryptocurrencies by market capitalization. The asset's market cap now stands at $16.96 billion, with a daily trading volume of $1.33 billion.

The rally began after Grayscale launched its first ETF offering direct exposure to Zcash, which is listed under the ticker ZCSH on NYSE Arca. According to a Grayscale spokesperson, revenue from the 2.5% fee charged by the product will return to the Zcash ecosystem and support the network's development.

Analyst Rain attributed the advance to improvements in private Zcash transactions, which have become considerably faster. However, he questioned whether the rally is driven by lasting demand or just leverage. The open interest has reached approximately 2.3 million ZEC, valued at $2.3 billion, with short liquidations totaling about $34.5 million.