ZEC -12.3% as Mining Difficulty Rises and Institutional Holdings Grow

On November 21, 2025, Zcash (ZEC) fell by 12.3% within 24 hours to reach $581.82, marking a 17.62% decline over the past seven days. However, the cryptocurrency has shown resilience, with a 42.33% increase over one month and a robust 923.48% surge within the past year.

Institutional Investment Drives ZEC Holdings to $150M

Cypherpunk Technologies, a digital-asset treasury firm backed by Gemini co-founders Cameron and Tyler Winklevoss, has significantly increased its ZEC holdings. The firm added $18 million in Zcash to its balance sheet, bringing total holdings to 233,644 ZEC, valued at approximately $150 million. This acquisition followed an initial investment of $50 million, and the firm now holds about 1.43% of Zcash’s total supply.

The firm’s average cost per ZEC token is $291, meaning its current holdings reflect over 100% in unrealized gains. Cypherpunk has positioned itself as a long-term investor in privacy-focused assets, emphasizing Zcash’s utility in a censorship-resistant financial ecosystem.

ZEC Price Action and Market Dynamics

ZEC recently experienced a short-term price rebound after hitting a 24-hour low of $595. Despite the decline, the price stabilized above key moving averages on the four-hour chart and remains supported by a rising trendline from $398. The token has also held above the 50-period EMA at $624, indicating some short-term bullish momentum.

Retail demand has stabilized, with Open Interest in ZEC futures holding above $1 billion. This suggests growing trader optimism, although futures Open Interest remains in negative territory, signaling bearish sentiment among traders. A drop in Open Interest could signal a return to downward pressure.

Mining Activity Reflects Network Strength

Zcash’s mining difficulty reached 154.26 million, nearing all-time highs, as network hashrate fluctuated. Despite recent price volatility, daily mining revenue saw a slight increase. This suggests miners are maintaining activity, likely due to expectations of future price stability and improved returns.

Technical Outlook Remains Cautious

Technical indicators show mixed signals for ZEC. The Moving Average Convergence Divergence (MACD) indicator has declined, with the blue line falling below the red signal line and the zero level, suggesting increasing bearish momentum. The RSI stands at 47, indicating neutral to weak momentum.

ZEC faces key resistance at $648 and $700, with a breakdown below the trendline from $398 potentially opening the door for a deeper pullback toward $571. Conversely, a rebound above $648 could ease selling pressure and set the stage for a potential recovery toward $700.

Summary

Zcash remains under pressure in the short term, with a 12.3% drop in the past 24 hours. However, institutional demand, particularly from Cypherpunk Technologies, signals continued confidence in the asset’s long-term potential. The market is closely watching for signs of stabilization, with key technical levels and Open Interest trends likely to dictate the next major price direction.