ZCash (ZEC) has surged above $320 after a sharp market reaction to geopolitical developments.
The move followed a two-week ceasefire between the United States and Iran. The rally aligned with a broader shift toward risk-on trading across crypto markets.
However, price action now approaches a key resistance zone near $330.
Ceasefire news and short squeeze drive ZEC higher
ZCash has surged more than 21% within 24 hours, emerging among the day’s top performers.
Data showed the rally followed renewed optimism across digital assets. Bitcoin also climbed toward $72,000, supporting the broader market recovery.
Trading volumes expanded to nearly $800 million, marking a one-month high. Data from CoinGecko showed ZEC initially peaked above $240 before extending gains past $300. The price later pushed above $320 as buying pressure increased.
Market activity pointed to a short squeeze as a major catalyst. Liquidation data confirmed that $2.85 million in short positions closed within the past day. This added upward pressure as traders exited bearish bets.
Open interest in derivatives markets rose by 26%, with most activity recorded on Binance.
The total open interest reached $386 million, still below levels seen in late 2025. The increase signaled renewed participation after months of weak sentiment.
The rally also lifted other privacy-focused assets. Monero (XMR) gained 3% and traded above $337. Smaller privacy tokens followed the broader upward trend.
ZCash resistance near $330 raises questions over sustainability
ZCash approached a key resistance zone near $330 following the rally. Data showed remaining short positions could still face liquidations at that level. However, upward momentum may weaken once those positions clear.
Previous price action in late 2025 relied heavily on influencer-driven momentum.
Reports indicated that some large holders later reduced their positions, triggering sharp declines. This history continues to influence current sentiment.
ZEC maintained a 0.5% social media mindshare, rising by 25% within one day. The increase reflected strong short-term attention across crypto platforms. However, sustained gains depend on continued demand.
On-chain data showed ZCash shielding continued to expand steadily. The shielded supply reached a record of over 5.17 million coins.
There were no signs of large-scale unshielding or selling activity.
Mining activity remained near all-time highs, unaffected by recent price swings. Despite stable fundamentals, price action risks returning to a bearish structure if buying pressure fades.
ZEC also maintained exposure through its role in Solana-based DeFi. Activity slowed after the Drift Protocol hack, increasing caution among users.
The asset now faces a key test to sustain its position as a risk-on trade.
ZCash price rises as bullish momentum strengthens
ZCash shows a modest recovery on the 1-day chart after months of decline and consolidation.
At the time of reporting, the ZCash price was trading near $324.37, gaining 23% in the past 24 hours.
Recent candles show stronger buying pressure as the market pushes toward the upper range.
Looking at the Indicators signal growing bullish momentum. The Relative Strength Index (RSI) sits near 71.56, suggesting strong buying activity.
Meanwhile, the MACD remains above the signal line with a positive histogram, supporting upward momentum
