Zcash price dips after surge, but bullish momentum remains intact

• Zcash price fell to intraday lows of $532 after surging above $570.
• Over $5.1 million in Zcash futures positions were liquidated in the last 24 hours.
• Bullish case remains if buyers hold $500, but a breakdown could push ZEC toward $370.

Zcash (ZEC) fell back below the $550 level on Friday morning, trading near $530 as profit-taking emerged across the broader cryptocurrency market.

The pullback has coincided with elevated activity in derivatives markets, which analysts say suggests traders are still adjusting leverage and positioning following the token’s recent rally.

Zcash price drops below $550

Market data shows Zcash (ZEC) has declined over the past 24 hours, falling to intraday lows near $532.

The pullback follows a strong rally that pushed the token above $570 on Thursday, May 14.

The earlier gains came after The Wall Street Journal published an article comparing Bitcoin and Zcash, a development that Grayscale said “feels like one of those moments” that often precedes a surge in broader investor interest.

While daily volume profiles show a modest decline, spot trading volume for Zcash (ZEC) remained near $256 million, while futures volume exceeded $2.7 billion.

The figures suggest speculative activity remains elevated. Data from CoinGlass shows that more than $5.1 million in Zcash futures positions were liquidated over the past 24 hours.

Despite the liquidations, open interest stands at about $978 million, although this is significantly lower than the $1.52 billion recorded on May 9.

Analysts say the decline points to traders continuing to reassess leverage and overall risk exposure.

​Zcash price forecast

​Price action over recent weeks saw ZEC climb to a high of $642, extending Zcash’s dramatic recovery from lows of $317 reached on April 29.

That relief rally followed deeper losses earlier in the year, when the privacy-focused token tested support near $185 as the crypto market sell-off intensified on Feb 5.

Thursday’s intraday dynamics illustrated the token’s sensitivity to momentum: a nearly 10% surge above $570 was later pared by a 4% decline from those intraday highs, culminating in the pullback under $550.

Despite the short-term pullback, the technical and fundamental picture remains bullish.

The recovery from April’s low and the subsequent climb toward the $640 area suggest investor interest in privacy coins.

Zcash’s recent progress on Quantum Recoverability is contributing to renewed attention.

If bulls defend the $500 level and broader market momentum persists, ZEC has a plausible path to revisit previous resistance above $700. Buyers may look to accumulate on dips.

​However, failure to hold $500 could expose ZEC to a deeper correction.

A break below that pivot would likely open targets near $450, with a further decline toward $370 possible.

The sizable reduction in open interest from early May reduces the immediacy of a leveraged squeeze higher. But this leaves room for renewed volatility should traders re-enter with elevated positions.