Zcash Battles Bearish Sentiment Amid Whale Accumulation

Zcash (ZEC) is locked in a tug-of-war between bearish retail sentiment and aggressive institutional buying this week. The privacy-focused token dipped below $500 recently, reflecting weakening demand and negative market dynamics. Still, it has climbed over 70% from December lows, fueled by whale accumulation that now controls 68% of ZEC supply. Arthur Hayes' Maelstrom fund highlights a broader narrative favoring privacy coins amid expected U.S. liquidity waves. These opposing forces create a pivotal moment for ZEC's trajectory.

Why Is Zcash Facing Mixed Market Signals?

Zcash struggles with persistent selling pressure and low retail interest. ZEC fell below $500 with a 2% loss recently, indicating weak buyer momentum despite broader market opportunities. That said, exchange outflows jumped 20%, suggesting strategic long-term holdings instead of panic selling. The divergence stems from factors like unshielded supply risks and immediate profit-taking, including $35.75 million in ZEC moved to Binance. Without retail volume support, ZEC consolidation remains unstable.