Zcash (ZEC) Price Analysis: Healthy Correction Before Attempting $782 Breakout

• Zcash faces resistance near $782, causing a short-term pullback.
• Price may find support within the $353 to $431 gap.
• Weekly RSI signals overbought conditions, and momentum is slowing.
• Grayscale advances ZEC ETF plans, expanding regulated investor access.

Zcash is trading at $514.42 after being rejected at the long-standing resistance around $782. This level has previously halted significant rallies, and this latest setback indicates that sellers are holding this level. While the current strength is good, the recent run is strong enough that the market may simply need a breather before making a further run higher.

Crypto analyst Crypto Patel highlights that just below the current price sits an important fair value gap between $353 and $431. The rally shot through this area so quickly that the chart never formed balanced trading activity there. A move back into this zone would simply be a healthy correction, not a trend break. If ZEC drops under $500, that gap becomes the most likely place for the price to settle.

A much larger support region lies between $74 and $191, where the long-term climb originally started. The price remains far from that zone. As long as ZEC stays above the fair value gap (FVG), the bigger picture still favors buyers. A bounce from $430 or even $353 could restart momentum, but the market will need to clear $550 and retest $782 before any meaningful breakout can continue.

Also Read: Zcash (ZEC) Price Outlook: Double-Bottom Formation Signals $849.95 Potential

Weekly Chart Signals Slowing Momentum

Looking at the one-week chart, the value of ZEC’s Relative Strength Index is 70.42, lower than a previous high of 76.38. A value above 70 is an indicator of an overbought market, and the drop shows a deceleration in the process of buying. However, the indicator is significantly above 50, showing strong support among buyers.

The value for the MACD is 137.09, with a signal line value of 87.42, and a positive histogram with diminishing bar lengths. There is robust momentum with a strong MACD line above the signal line, but the diminishing histogram indicates slowing upward momentum. The upward movement is sustained, with diminishing speeds for the rising movement on a weekly chart.

Grayscale Moves Toward ZEC ETF Launch

Grayscale filed the ZCSH Form S-3, an important step forward in bringing the first ZEC exchange-traded products to market. This is a step forward in terms of working towards providing access to Zcash in a regulated manner. Now with the filing done, Grayscale will be even closer to providing a new and simple access mechanism for investors in ZEC.

Zcash arrived in 2016 with a privacy-driven design that quickly showed long-term promise. Realizing the potential so early, the Grayscale Zcash Trust, commonly abbreviated ZCSH, launched in 2017 with a private placement offering. It offered structured investment access for accredited investors in Zcash and contributed in some manner to other investment products being developed around the asset.

Also Read: ZEC Price Prediction: Will Zcash Crash Further in 2025?