Could the 58% increase of ZEC set the stage for a breakout to 200 dollars?

In the past 24 hours, Zcash (ZEC) has surprised the market with a 58% increase, bringing its price to 156 USD. This surge has raised the circulating market capitalization of ZEC to a record 2.27 billion USD, drawing attention from investors to this privacy-focused token.

Coinphoton will analyze the significance of this milestone, how data from the futures market reflects the position of traders, and whether technical charts support a sustainable trend beyond the 100 USD threshold.

The circulating market capitalization of ZEC reached a record high

Surpassing the 2 billion USD mark is not just a remarkable achievement for ZEC. Market capitalization not only reflects price volatility but also represents the overall value of the network. Establishing a new all-time high indicates an increase in investor confidence in ZEC.

For a token that usually does not attract the attention of top investors, this milestone has signaled a change in perception. Traders believe that this could open up opportunities for new capital and higher resistance tests.

Source: Token Terminal## The futures market leans towards buyers.

In addition to the optimistic outlook, the Cumulative Volume Delta data (Cumulative Volume Delta – CVD) from CryptoQuant shows a distinct dominance of buyers in leveraged markets. This indicator has highlighted the situation of significantly higher buying volume compared to selling volume, indicating strong confidence behind the price increase of ZEC.

However, the scale of buyer dominance is still lower compared to previous price increases of ZEC. This indicates that leverage has supported the price increase, but confidence has not yet reached the level of euphoria.

The current trading indicators remain neutral, leaving traders with the task of monitoring whether pressure from the futures market will spill over into the spot market of ZEC.

Source: CryptoQuant## The technical factors of Zcash also tend to appreciate

On the contrary, the charts on TradingView show that ZEC has extended a consecutive three-day rally after breaking through a consolidation channel. The break above the psychological resistance level of 100 USD has led traders to target 200 USD if the bullish momentum continues to be sustained.

Daily Bollinger Bands have expanded to their highest level in years, at the time of writing, confirming strong volatility. This indicates the potential for continued growth, but also warns of adjustment risks due to remaining gaps below.

At the same time, the random momentum index remains above 60, indicating strong momentum but has not yet reached extreme exhaustion levels.

Source: TradingViewThe current trend leans towards optimism, although traders have also pointed out warning signals regarding overextension.

Motivation or Overexpansion?

The combination of a new market capitalization peak and buyer dominance in the futures market has painted a positive short-term outlook for ZEC. If this momentum continues, both traders and investors may see prices increase further in the coming days.

However, sustainability remains a key question. Without continuity from broader market conditions and spot trading activity, price surges mainly led by futures traders may face the risk of a rapid reversal.

Mr. Teacher