Zcash: Is ZEC crypto’s $1,600 rejection more than just a pullback?
The ZCash Valour ETP launch gives European investors a regulated way to own exposure to ZEC crypto, one of the best-performing large-cap altcoins.
On the 29th of September, Nasdaq-listed DeFi Technologies Inc., the publicly traded financial technology company aiming to bridge the gap between traditional markets and decentralized finance (DeFi), announced that its investment product arm, Valour, has launched a ZCash [ZEC] exchange-traded product.
This development aligns with DeFi Technologies’ expansion of its Valour ETPs in Europe. Valour ZCash SEK ETP began trading on Sweden’s Spotlight Stock Market on Tuesday with a 1.9% management fee.
Recently, 21Shares announced that they were launching Europe’s first physically backed Zcash ETP on both Euronext Paris and Amsterdam. On the 24th of September, it was reported that the Grayscale ZCash ETF (ZCSH) reached $1 billion in assets under management.
The impact on ZEC crypto price action
On the weekly chart, ZEC crypto has a firmly bullish bias. The price was trading at highs not seen in six years, with the cautionary note that the all-time high of $5,941 that CoinMarketCap reports for ZCash came when the trading volume was relatively low.
The RSI on the weekly chart was not as overextended as the September-October 2025 levels, but has strayed above 70 over the past month. The CMF was at +0.14 as of writing, well above the +0.05 threshold that demarcates strong capital inflows.
Meanwhile, the OBV was less convincing. It showed an uptrend since the summer but has yet to climb towards the previous year’s highs.
Are there chances of a deeper ZCash correction?
On the face of it, ZEC crypto has been one of the best-performing large-cap crypto assets since mid-August. It has rallied nearly 200% from $480 to $1,400, despite the recent setback from $1,600.
However, its momentum has cooled in recent weeks around the $1,600 mark. Moreover, it fell below the 4-hour timeframe’s higher low at $1,427. This level had kept the internal structure bullish.
The same support level has been retested as resistance, and there was a chance of a deeper price dip. The Fibonacci retracement levels drew attention to $1,182 and $1,292 as points of interest for a bullish recovery.
A drop below $1,041 would flip the structure bearishly on this timeframe. Swing traders and investors can expect the loss of the psychological $1,000 level to trigger increased selling pressure.
Final Summary
- The ZCash Valour ETP launch gives European investors a regulated way to own exposure to ZEC crypto, one of the best-performing large-cap altcoins.
- The privacy token’s momentum has slowed down around $1,600, and a drop below $1,427 suggests a deeper retracement is possible.
