Privacy's New King: Zcash Surpasses Monero with $6.2B Market Cap

Zcash (ZEC) has surged 16% in 24 hours to hit $435, marking an eight-year high and outperforming peers in the privacy-coin sector. The rally, fueled by renewed interest in privacy-focused assets and high-profile endorsements, has pushed ZEC's market capitalization past $6.2 billion, surpassing Monero (XMR) and Shiba Inu (SHIB), according to TradingView's report on Zcash shielded supply. The token's ascent reflects broader momentum in the privacy narrative, with shielded transactions on the Zcash network reaching 4.9 million ZEC—nearly 30% of the total supply, per a TradingView report.

The surge gained momentum after prominent crypto figures amplified ZEC's potential. BitMEX co-founder Arthur Hayes predicted ZEC could rise to $10,000, calling the move "unstoppable," according to CoinPedia's coverage of Arthur Hayes' prediction. His bullish stance, combined with similar forecasts from Helius CEO Mert Mumtaz, who argued Zcash could flip XRP in market capitalization, reignited retail and institutional interest, as reported in a Helius CEO prediction. Institutional demand has also grown, with Grayscale’s Zcash Trust managing $151.6 million in assets, offering regulated exposure to the privacy coin.

Zcash's privacy features, enabled by zero-knowledge proofs (zk-SNARKs), allow users to shield transaction details, a utility that has gained traction amid heightened global scrutiny over digital surveillance. The network's shielded pool now accounts for the majority of recent growth, driven by the Orchard protocol, the most secure iteration of Zcash's privacy technology, according to the TradingView report. Analysts note that expanded shielded adoption signals real-world usage, as holders actively opt into privacy rather than passively holding tokens, the same report found.

The rally has also benefited from macro-level trends, including Zcash's upcoming halving event in November, which will reduce block rewards by 50% and mirror Bitcoin's scarcity model — a point highlighted in coverage of Grayscale's Zcash Trust. Meanwhile, regulatory debates over privacy-enhancing tools have underscored ZEC's value proposition. The U.S. Treasury's recent call for public input on privacy technologies and the EU's contentious "chat control" proposals have amplified demand for censorship-resistant assets, analysts say.

Despite the optimism, risks remain. Zcash's rapid price increase has left it vulnerable to retracement, with a drop below $320–$330 potentially triggering a pullback toward $280–$300, according to a Zcash price prediction. Additionally, while Zcash's market cap has surged 500% in a month, XRP's $152.8 billion valuation and institutional adoption present a formidable hurdle to the Helius CEO's flip prediction, as previously reported.

The privacy-coin sector's total market cap now stands at $22.7 billion, with ZEC leading gains. Dash (DASH) and XMR also rose 22.2% and 3.6%, respectively, in 24 hours, according to a Lookonchain feed. However, the sector's volatility underscores the speculative nature of the rally, driven by social media hype and narrative momentum, a theme explored in a Yahoo Finance article.

As Zcash approaches $500, the focus will shift to whether demand for privacy can sustain the ascent. With institutional interest growing and regulatory scrutiny intensifying, the coming months will test whether Zcash's "digital privacy premium" can translate into long-term value.