ZEC Price Surge Wipes Out Shorts, Boosts Demand Through Grayscale ETF
Zcash (ZEC) has recently made significant gains in the market, pushing its price up by over 19% in the past 24 hours. This surge has placed ZEC among the top 10 cryptocurrencies globally, with a market capitalization exceeding $20 billion.
The increase in value is largely attributed to the liquidation of short positions, with an estimated $48.91 million in shorts being wiped out over the past day. This accounts for approximately 90% of all ZEC liquidations, indicating that bearish traders have been heavily affected by the price hike.
The ETF tailwind has also played a significant role in Zcash's recent momentum. Grayscale's Zcash ETF (ZCSH) was launched on August 25 and has attracted substantial inflows, with over $34.4 million being invested as of September 4. The fund's assets have subsequently surpassed $400 million, further boosting demand for the cryptocurrency.
As a result of this surge in popularity, Binance has seen significant liquidations, with around $20.69 million in ZEC positions being wiped out. Hyperliquid also experienced substantial losses, with almost all of the approximately $14.09 million in liquidations coming from short positions.