Zcash News Today: ZEC's Privacy Premium: Halving-Driven Scarcity Sparks Bitcoin-Style Rally

Zcash (ZEC) miners reported a modest increase in daily earnings in early November as the network's mining difficulty approached record levels, according to CoinWarz data. The ZEC network's mining difficulty currently stands at 154.26 million, nearing its historical peak, while the average daily revenue for miners has edged higher amid a slight rebound in the cryptocurrency's price. This development comes as broader market dynamics, including short liquidations and strategic institutional investments, highlight the growing volatility and speculative interest in the ZEC ecosystem.

The upward pressure on ZEC prices has already triggered significant losses for some traders. On November 17, a high-profile trader saw $3.28 million in losses after their short positions in ZEC were liquidated due to the price surge. The trader's remaining positions include 73 BTC and 34 ZEC, with liquidation thresholds set at $95,764 for Bitcoin and $757 for ZEC. This event underscores the heightened sensitivity of ZEC to market movements, particularly as investors position for the November 2025 halving event.

Analysts point to the halving as a critical catalyst for ZEC's price trajectory. Scheduled for November 2025, the event will cut block rewards in half, reducing the rate of new ZEC issuance by 50%. Historically, such events have driven scarcity-driven rallies in other cryptocurrencies, and ZEC is no exception. Investors are increasingly viewing the token as a privacy-focused hedge, similar to Bitcoin's role as a store of value. The halving is expected to tighten the effective circulating supply of ZEC, particularly as more coins are funneled into shielded pools, reducing selling pressure from miners.

Institutional interest in ZEC is also gaining momentum. Cypherpunk Technologies Inc recently purchased an additional $18 million in ZEC, bringing its total holdings to 233,644.56 ZEC, or 1.43% of the network's supply. The acquisition, executed at an average price of $602.63 per ZEC, reflects the company's strategic alignment with Zcash's privacy-centric model. Meanwhile, ZEC's price has surged past $700, with some analysts speculating that the token could breach $1,000 in the coming months, overtaking competitors like ADA and HYPE to enter the top 10 cryptocurrencies by market capitalization.

The ZEC ecosystem's resilience is further bolstered by its unique supply dynamics. Unlike Bitcoin, which has seen steady demand-driven price increases, ZEC's pre-halving rally is being fueled by a combination of reduced issuance and growing institutional adoption. As the November 2025 halving approaches, investors are pricing in a scarcity premium, mirroring the bullish narratives seen in Bitcoin and Litecoin during previous halving events.