Zcash price surged by over 40% on Wednesday, briefly crossing the $600 level after Tushar Jain disclosed that Multicoin Capital had been steadily building a sizable position in the asset since early 2024.
Summary
Zcash rallied more than 40% following Multicoin Capital’s revelation of a large ZEC accumulation.
Market sentiment improved ahead of the upcoming FCMP++ upgrade, expected to enhance privacy and scalability.
Technical indicators turned strongly bullish as ZEC broke key resistance levels and trading volume hit a yearly high.
According to data from crypto.news, Zcash jumped from an intraday low of around $405 to a peak near $607, before settling close to $579 at the time of writing. The sharp move pushed the token to a new year-to-date high, making it one of the top-performing cryptocurrencies across both daily and weekly charts.
A key driver behind the rally was Jain’s announcement that Multicoin Capital had quietly accumulated a “significant” stake in Zcash since February 2024. He framed the investment as a long-term play on the revival of “cypherpunk ideals,” emphasizing Zcash’s strengths as a privacy-focused and censorship-resistant digital asset. This statement sparked renewed interest among both retail and institutional investors, further fueling the rally.
Investor optimism was also boosted by the upcoming FCMP++ upgrade, with its next testnet phase scheduled soon. The upgrade is expected to significantly improve Zcash’s privacy features and scalability for shielded transactions, strengthening its position in the privacy coin segment.
Supply-side dynamics added further momentum. Data indicates that more than 30% of circulating ZEC remains locked in shielded pools, limiting available supply in the market and making prices more responsive to increased demand.
The rally also led to a wave of short liquidations, as traders betting against the asset were forced to exit positions. Daily trading volume spiked to nearly $1.6 billion, marking its highest level in 2026 so far.
Price analysis
On the daily timeframe, Zcash confirmed a bullish cup-and-handle breakout after clearing neckline resistance near $400. The move followed a breakout from a falling wedge pattern within the handle, a setup often viewed as a continuation signal.
Momentum indicators further supported the bullish outlook. The MACD expanded deeper into positive territory with increasing histogram bars, indicating strong buying pressure. Meanwhile, the Aroon Up indicator climbed to 100 while Aroon Down dropped near 7, signaling a dominant uptrend.
If momentum continues, Zcash could next test the psychological $650 level, followed by resistance around $700. However, a breakdown below the $400 zone may lead to a pullback toward the $360–$380 support range before any renewed upward move.
