Zcash Suffers Significant Correction as Bitcoin Sees Temporary Pullback

Zcash (ZEC) has seen a significant correction after reaching its highest price point in over 10 years, falling from $1,650 to under $1,500. Analyst Crypto Patel predicts that this could be the start of a major pullback, potentially leading to a collapse to $500 or even as low as $200.

The reason for this prediction is based on a cup-and-handle structure that suggests the $1,600-$2,000 range may have marked the top of the cycle. Additionally, ZEC has shown signs of 'extreme extension from a psychological perspective.'

However, despite this potential warning sign, the overall trend for ZEC remains bullish, with its value skyrocketing by 2,600% on a yearly scale.

In other news, Bitcoin (BTC) has also seen a slight correction, falling to $84,600 after reaching $87,000. Despite this, certain factors suggest that this may be a temporary pullback before a new leg up.

The whale activity in BTC is one such factor, with large investors accumulating almost 114,000 units since July 15. Additionally, the declining amount of coins stored on crypto exchanges and solid institutional interest also support the bullish trend for BTC.