Important requirements
- ZCash is one of the worst performers among the top 30 cryptocurrencies by market cap, down 3.5% in the last 24 hours.
- This fee may rise significantly in the near future as there is a need for more privacy.
ZEC fell as the market rallied
ZEC, the native currency Zcash, has fallen by 3.5% in the last 24 hours, making it one of the worst performers among the top 30 cryptocurrencies and market cap.
It is trading at $241 per share, down from $257 recorded on Tuesday. The bearish performance comes amid a decline in Zcash derivatives.
According to CoinGlassZEC’s futures’ Open Interest (OI) stands at $438 million, down from the $473 million recorded on Tuesday, reflecting a decline in the value of open contracts.
Often times, the drop in OI during a downtrend also confirms the issue that traders expect to recover.
Technical view: Will the price of Zcash return above $250 soon?
The ZEC/USD 4-hour chart is a chart but it does not work if the price of Zcash faced resistance above the $250 psychological level.
It is currently trading below its 50-day EMA of $248c, suggesting that the bulls failed to take advantage of the recent rally.
Despite this, the near-term bias is increasing as ZEC is currently operating at a low, while remaining below the resistance line that has been in place for some time.
If the bulls regain control and the ZEC daily candle closes above $250, it will confirm the breakout and open the way to the 200-day EMA at $274, followed by the 23.6% Fibonacci retracement level at $362.
The Moving Average Convergence Divergence (MACD) line has turned above the signal line and is back in positive territory on the 4-hour chart, indicating strengthening pressure.
The Relative Strength Index (RSI) at 61 reinforces a bullish recovery without showing any oversimplification.
At the bottom, if the resistance candle holds, ZEC may drop to the 38.2% Fibonacci retracement level at $231, followed by a rising trend near the $200 emotional support.
