Zcash (ZEC) has shed 7% of its value in the past 7 days, as news of the Binance hack depressed the price of most cryptocurrencies.
However, as the blockchain’s NU7 upgrade approaches, the token has managed to stay within a hot buy zone we identified weeks ago and exhibits signs of persistent accumulation in this area.
Developers confirmed that the new version of the network will be rolled out on the project’s mainnet on November 6.
The most relevant change that this overhaul introduces is a reduction in transaction settlement times from 75 seconds to 25 seconds.
This makes Zcash’s core privacy feature more appealing and efficient to users, at a point when demand for this kind of token is booming.
Net Inflows to ETFs Turned Positive in Late October
ZEC continues to be one of the top-performing tokens in the crypto space in 2026 with a year-to-date (YTD) gain of 128% despite the latest correction.
Meanwhile, usage of its shielded transactions recently increased to a new high of 59% of total TX volumes, according to on-chain data from ZecHub.
This indicates that demand for anonymous transactions continues to be strong. Even though the project suffered a technical hiccup this year as an silent vulnerability in its coding was revealed, the launch of the Ironwood pool helped Zcash to maintain its credibility.
Net inflows to spot exchange-traded funds (ETFs) linked to Zcash closed last month in negative territory, with $46 million flowing out of these vehicles.
This marked a drastic shift compared to the $245 million that investors deposited in September, and it was primarily influenced by the market’s depressed sentiment toward cryptos as a whole.
Nonetheless, we saw a strong 8-day streak of positive net inflows between October 20 and October 29, even though the price did not react much. This could indicate persistent accumulation at levels that we still deem attractive.
Social volumes remain low and recently hit their lowest point since August 21 — back when the rally commenced. We need this metric to pick up to confirm that retail interest in the token is rising again.
ZEC Needs to Break Past $1,400 to Resume Its Rally
Turning to the chart, we clearly see that the $1,400 level is the key resistance to watch, as this level has acted as a barrier for the latest rally attempts.
We designated this level as the pivotal one for a confirmed market shift. Meanwhile, the $1,000 area is still the most relevant support in the near term.
The trading opportunity we identified in early October is still in positive territory, and we don’t see a reason to close it yet.
The market has some breathing room on the macro backdrop, as the next interest rate decision is scheduled for early December. Hence, as long as that $1,000 floor holds, the odds of a breakout of this $1,400 area remain high and will likely lead to a retest of the $1,700 zone if it happens.