ZEC Up 5.45% in 24 Hours as Grayscale Files ZEC ETF Application

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On December 3, 2025, ZEC surged by 5.45% within 24 hours, closing at $327.33. Despite this short-term gain, the asset has experienced a 26.99% drop over the past week, 22.89% in the last 30 days, and remains within a 486.44% rebound from a year ago. The recent price action appears to be influenced by developments in the broader altcoin ETF landscape, which has seen renewed investor interest.

Grayscale Files ZEC ETF Application

Grayscale Investments, a major player in the crypto asset management sector, has filed for a spot Zcash (ZEC) exchange-traded fund (ETF) with the U.S. Securities and Exchange Commission (SEC). This follows the recent approval of spot ETFs for altcoins such as XRP, Solana (SOL), and Dogecoin (DOGE), with Grayscale launching its first spot Chainlink (LINK) ETF on December 3.

The firm has emphasized the strategic value of ZEC within the crypto ecosystem, noting its role in blockchain privacy and data verification mechanisms. Grayscale has previously converted its private trust structure for other altcoins into ETFs with no commission fees, and it is expected that the ZEC offering will follow a similar structure.

Whale Activity Indicates Growing Bearish Pressure

On-chain data as of December 3 shows increased bearish positioning in ZEC among top whale accounts on Hyperliquid.

The largest ZEC short holder, labeled "ZEC&MON Largest Bear," has increased its ETH short position and added $1.21 million to its ETH short, currently holding $25.09 million in short exposure. The unrealized profit on this position stands at $7.88 million, representing a 471% gain. The same whale has also extended its ZEC short position, with unrealized gains reaching $3.3 million (187%).

Other notable whale activity includes “pension-usdt.eth,” which has become the largest BTC short holder on Hyperliquid after opening a $91 million BTC short at 3 AM ET. This position is currently at a 542% unrealized gain, with a liquidation price of $101,000. These movements suggest growing bearish sentiment across both BTC and altcoin markets, with ZEC increasingly under pressure.

Institutional Interest in Altcoin Infrastructure

The ZEC ETF filing by Grayscale aligns with a broader trend of institutional adoption of altcoin infrastructure. Chainlink, which recently launched its first spot ETF, has partnered with the U.S. Department of Commerce to facilitate the transfer of macroeconomic data to blockchain networks via oracle services. This partnership highlights the growing integration of altcoin protocols with traditional financial data systems.

While ZEC has not yet secured a similar institutional partnership, its focus on privacy-preserving blockchain technology positions it as a compelling candidate for ETF inclusion. The potential launch of the ZEC ETF by Grayscale could serve as a catalyst for renewed interest in the asset, particularly among institutional investors seeking diversified exposure to the altcoin market.

Outlook and Analyst Projections

Analysts project that the approval and launch of the ZEC ETF could occur within the next several months, contingent on SEC review and market conditions. While the short-term volatility in ZEC remains high, with a 26.99% weekly decline, the long-term trajectory—up 486.44% in the past year—suggests a strong underlying narrative for the asset.

Investor sentiment is further supported by the broader altcoin ETF momentum, with Grayscale’s recent filings indicating a strategic push to expand altcoin ETF offerings. If the ZEC ETF is approved, it could signal a significant step forward for altcoin adoption in the mainstream financial market.

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