Zcash Surges Past $1,000 Amid Bullish Cycle

Zcash has reached $1,000 for the first time in almost a decade, sparking interest in how far it can climb. The cryptocurrency's price has surged nearly 100% over the past month, and its market value has risen to around $17 billion.

The rally is attributed to several factors, including Grayscale's launch of its US-listed Zcash ETF in late August. This move opened up ZEC exposure to traditional investors through brokerage accounts, attracting fresh inflows. Additionally, demand for privacy-focused cryptocurrencies has increased, with more ZEC moving into shielded pools.

The latest price jump was also fueled by derivatives traders and the liquidation of $34.5 million in short positions. However, leverage has continued to build after the squeeze, with total ZEC open interest climbing toward $2.4 billion.

The short-term chart still favors buyers, but momentum is already stretched. The daily Relative Strength Index is close to 80, a level commonly associated with an overheated market. If $1,000 fails as support, the next major test sits around $935-$955.