Zcash Price Forecast: Is ZEC’s recovery losing momentum under ETF selling pressure?

• A modest recovery in Zcash on Monday follows two consecutive days of declines, with the coin continuing to trade within its consolidation range.
• Investor sentiment towards ZEC ETFs appears mixed: last week’s outflows of $13 million followed inflows of $17 million in the preceding week.
• With Zcash confined to the $1,112–$1,340 consolidation band, its technical outlook remains mixed.

Buying interest returns to Zcash (ZEC) on Monday, bringing a modest gain after two consecutive sessions of losses. Institutional investors withdrew a total of $13 million from the privacy coin, while interest among retail investors remains mixed. Continued consolidation between $1,112 and $1,340 points to fading momentum in Zcash’s technical outlook.

Why Has the NU7 Release Failed to Lift ZEC Amid ETF Outflows?

Despite Friday’s mainnet launch of Zcash’s Network Upgrade 7 (NU7), which cut block confirmation time from 75 seconds to 25 seconds, buyers have remained on the sidelines. The price failed to clear the $1,340 barrier on Friday, setting up two successive days of declines. 

Looking back, institutional reluctance, reflected in last week’s $13 million in outflows, has overshadowed the upgrade. Further sustained withdrawals from ZEC-focused exchange-traded funds (ETFs) could increase downside risk.

Retail positioning presents a mixed picture. Open Interest (OI) in ZEC futures has fallen 2% over the last 24 hours to $2.68 billion, signalling that active contracts are being unwound. At the same time, the funding rate has climbed to 0.0272%, suggesting traders are rebuilding long positions in anticipation of a possible rebound.

Technical outlook: Can Zcash Recover Its Bullish Momentum?

At the time of writing on Monday, Zcash is trading at $1,240 and testing its 50-day Exponential Moving Average (EMA) at $1,219. That average remains well above the longer-term 200-day EMA at $876, with the two together suggesting a supportive near-term structure.

Momentum appears stable and neutral: the Moving Average Convergence Divergence (MACD) and its signal line are converging close to zero, while the Relative Strength Index (RSI) sits just under 50.

A return above the October high of $1,340 is needed to restore Zcash’s bullish trend. Reclaiming that barrier could open the way towards the 26 September high of $1,698.

Should the price decline, the 50-day EMA near $1,219 offers immediate support. If selling pressure intensifies, the 8 October low of $1,112 provides a deeper structural floor.

(The technical analysis of this story was written with the help of an AI tool. Know more.)