ZEC -20.91% in 7 Days as Retail Volume Overheats Futures Market

Zcash (ZEC) recorded a 0.28% rise in the last 24 hours on November 28, 2025, reaching $448.73. However, the asset is down 20.91% over the past week, contrasting with a 11.98% gain over 30 days and a 705.21% rally over the past year. This recent volatility reflects ongoing pressure on the privacy-focused cryptocurrency, driven by shifting demand dynamics and speculative activity in derivative markets.

Shifting Demand in Shielded Pools Signals Weakness

The stagnation in ZEC’s shielded pools suggests weakening demand for the coin’s core privacy features. The Orchard pool, which saw a surge during ZEC’s recent rally, has plateaued at 4.21 million tokens since November 4, a sign that the positive feedback loop between supply and demand may be breaking down. A continued stall in activity could pressure the price further by reducing the perceived scarcity of shielded ZEC.

Meanwhile, the older Sapling pool is shrinking as users move funds to unshielded balances, another sign that investors may be less reliant on privacy features. This trend could erode ZEC’s appeal in its niche market, especially if users begin prioritizing liquidity over anonymity.

Retail Overheating Risks Sharp Correction

Retail-driven demand in the futures and spot markets has reached concerning levels. According to CryptoQuant, the derivatives and spot markets are showing signs of overcrowding, which has historically preceded sharp corrections in the cryptocurrency space. The 2021 market peaks, for instance, were marked by similar surges in retail participation before steep price reversals.

Coinsights data reveals that ZEC futures Open Interest (OI) dropped 7.71% in the last 24 hours to $977.39 million. While this decline may suggest traders are reducing their exposure, it could also indicate a lack of conviction in the current price structure. A sharp drop in futures activity often follows periods of uncertainty or impending bearish moves.

Technical Outlook: ZEC Faces Critical Support Level

From a technical perspective, Zcash is currently below the $500 psychological level and approaching the 50-day Exponential Moving Average (EMA) at $436. If this level fails to hold, analysts project ZEC could drop by as much as 30%. The 50-day EMA is a key indicator for short-to-mid-term price direction, and a break below this level could confirm a deeper correction.

The combination of reduced shielded pool activity and overheated retail demand underscores the fragility of ZEC’s current price action. While the 11.98% monthly rise and 705.21% annual gain highlight strong long-term momentum, the recent pullback highlights the risks of short-term speculative behavior overwhelming fundamental value.