BNB News Today: Zcash: 'Insurance Against Bitcoin' Surges 140% as Privacy Fears Drive Institutional Adoption

Zcash (ZEC) surged 140% in the last week, outperforming Bitcoin and becoming the top cryptocurrency gainer, driven by institutional adoption and renewed interest in privacy-focused assets. The launch of Grayscale's Zcash Trust, which attracted over $46 million in assets under management, marked a pivotal catalyst. Institutional investors, including accredited buyers, gained regulated exposure to ZEC through the trust, signaling a shift toward viewing Zcash as a strategic asset rather than speculative volatility. Derivatives activity surged, with open interest in ZEC derivatives jumping 200% in 24 hours to $120 million, and funding rates turning positive, reflecting bullish sentiment. Zcash's zero-knowledge proof (zk-SNARK) technology, enabling shielded transactions, has rekindled interest amid growing concerns over privacy erosion from central bank digital currencies (CBDCs) and transparent blockchains. Prominent crypto advocates, including Helius CEO Mert Mumtaz and AngelList co-founder Naval Ravikant, highlighted Zcash's role as "insurance against Bitcoin," emphasizing its relevance in a surveillance-driven financial landscape.

Binance Coin (BNB) also recorded steady gains, supported by BNB Chain's $4.4 million liquidity pool initiative. The program, launched on March 13, 2025, allocates permanent liquidity to top-performing projects across all sectors on the BSC network. The initiative's first round focused on memecoins but expanded to include broader categories, with daily and weekly competitions rewarding projects with liquidity support. BNB's market capitalization and trading volume benefited from the ecosystem's renewed activity, though its price movement remained more measured compared to Zcash's parabolic rise. Analysts noted that BNB's gains were tied to its role as a utility token within the BNB Chain ecosystem, particularly as liquidity incentives boosted transaction demand and developer activity.

Zcash's technical indicators further reinforced its bullish trajectory. The price broke above the 61.8% Fibonacci retracement level at $111, with analysts projecting a potential run toward $189 and beyond. However, the Relative Strength Index (RSI) entered overbought territory at 90, signaling possible short-term consolidation. Support levels at $111 and $100 were identified as key areas to watch for stability. Zcash's third halving, scheduled for November 2025, coincided with a transition in development funding models, adding to its long-term narrative of scarcity and community governance.