Zcash has one shot at $1,350 as ETF inflows return – Or it’s back to $1,040

Zcash [ZEC] is regaining some of the upward momentum it had before falling back into the $1,040 level and holding off multiple waves of selling. After peaking at around $1,700 in late September, the altcoin fell rapidly and has been stuck below $1,350 for almost three weeks.

Although this week’s bounce off the 19th of October lows near $1,040 brought the price up to $1,260. This indicates that there are once again buyers interested in purchasing. The RSI has also climbed to 64.67, supporting the recovery as momentum strengthens.

Nevertheless, ZEC now will have to test the upper end of a resistance area near $1,300–$1,350. Previous rally attempts were met with heavy selling pressure in this area.

Thus, a confirmed four-hour close above $1,350 could shift market structure and open a path toward $1,500 and potentially $1,700.

If instead the price falls short of closing above $1,350, then there may be a sell-off down to $1,150, potentially creating a threat to the recent $1,040 support level. Repeated support tests make a breakdown increasingly important to watch.

Zcash shielded pools see $25.46M in deposits

While Zcash attempts its recovery, its shielded-pool activity offers another view of the token’s network usage and privacy demand.

Over 24 hours, users shielded 20,392 ZEC worth $25.46 million, with the largest deposit adding 2,999.83 ZEC, valued at approximately $3.7 million.

The next-largest additions reached 670 and 575.1 ZEC, showing how one large deposit outweighed other major transactions. However, 24,496 ZEC left the pools, exceeding new deposits by 4,104 ZEC.

As such, there was negative net shielded activity even though there were substantial inflows. Moreover, shielded pools currently hold approximately 4.96 million ZEC, or about 29.2% of the total circulating supply.

Additional evidence of increasing demand for the private aspects of Zcash would be sustained net inflows into the shielded pools, whereas continuing outflows would reduce confidence in this signal.

Zcash ETFs see fresh inflows

On the other hand, there is growing interest in regulated investments related to Zcash. Spot ZEC ETFs saw net inflows of approximately $1.61 million on the 20th of October. This came after experiencing a net outflow of $10.45 million in the prior session.

All the funds went into Grayscale’s ZCSH. As a result, cumulative inflows rose to approximately $153.86 million. Also, net asset values increased from $601.70 million to $649.65 million. Volume traded reached approximately $49.79 million.

Nonetheless, it follows several days of losses before this day, including outflows of over $14.76 million on the 15th of October. Therefore, there are only two sessions recorded positive flows, suggesting demand remains uneven

In contrast, however, Zcash has been attracting new capital, while most of the major altcoin ETF product areas are seeing outflows. Sustained inflows would increase the evidence for institutional interest in regulated ZEC exposure.

Final Summary

• Zcash recovered to $1,260 but faces resistance at $1,350 after rebounding from $1,040.

• ZEC shielded pools lost 4,104 net ZEC, while Spot ETFs gained $1.61 million in fresh inflows.