ZEC Price Action: Consolidation Flow and Key Breakout Levels

Zcash is trading around $244, down sharply from recent highs after a 35% pullback over the past month. The price is consolidating within a descending triangle pattern on the 4-hour chart, with immediate support holding between $234 and $230. Resistance is capped at $245, and a decisive breakout above that level on volume could target $260.

The key volume day of Feb 22, 2026, saw 259 million in volume as the price tested the $245 level. That session marked a clear point of selling pressure, with the price closing near the day's low. This high-volume rejection highlights the strength of the resistance at $245 and underscores the market's indecision.

The setup now hinges on the next move. A break above $245 with sustained volume would signal a potential reversal, opening the path toward $260. Conversely, a failure to hold above $245 risks a retest of the critical support zone near $230. The coming days will define whether this consolidation leads to a breakout or a renewed decline.

Liquidity and Accumulation Signals

Despite the sharp pullback, the flow of money into ZEC shows signs of sustained accumulation. The Cumulative Volume Delta (CVD) remains strong near the $280-$260 support zone, indicating that buyers are absorbing sell orders at these levels. This technical signal suggests underlying demand is holding firm, even as the price consolidates.

Liquidity remains robust, with the 24-hour trading volume at $360.67 million. This elevated volume confirms active market participation and provides the necessary fuel for any future breakout. The sheer size of this daily turnover means the market has ample liquidity to absorb large orders without extreme price slippage.

A significant, locked-in liquidity pool is forming in the form of shielded transactions. Over 30% of the total ZEC supply is now in shielded addresses, representing a substantial amount of coins that are not actively trading. This creates a deep, patient layer of capital that could be deployed into the open market if price action breaks decisively in either direction.

Catalysts and Risk Pathways

The immediate catalyst for ZEC is a decisive break above the $245 resistance zone. A close above that level on volume exceeding the recent high-volume rejection day would confirm a bullish reversal. This would invalidate the descending triangle pattern and open the path toward the next major target at $260, with a sustained move above that level potentially accelerating toward the $320 resistance zone.

Failure to hold the key support between $234 and $230 is the primary bearish trigger. A breakdown below that zone would likely accelerate the decline, targeting the next support level near $220. A sustained move below $220 risks a retest of the major structural support at $207, which has held in previous cycles. Traders should watch for a break of the descending trendline below $230 as a signal of deteriorating near-term momentum.

The broader market context is a critical external catalyst. ZEC's price action is closely correlated with Bitcoin; analysts note that if Bitcoin price remains below the $70,000 threshold, breaking the descending resistance could prove difficult. Overall crypto liquidity and risk appetite will determine whether ZEC can sustain a breakout or if it will be pulled back into a broader market correction.