ZCash (ZEC) is currently testing the psychological resistance level of $500, reflecting significant interest from traders. Over the past 24 hours, trading volume for ZCash surged by 51.5%, while Open Interest also rose by 17.16%. The token has recorded a daily gain of 7.04%, following a trend that began in late June after finding support around $370.
According to reports, the recent verification of the ZCash Ironwood pool aims to prevent undetectable counterfeiting bugs, which previously led to notable price corrections. The issue reportedly halted after proposals for a new auditable pool were introduced.
Resistance Levels and Market Sentiment
The price action on a daily chart indicates that the area between $500 and $530 has been a significant supply and demand zone since December 2025. This trend continues to present a bullish outlook as long as the price remains above $299.6. A move below this level could shift the market sentiment to bearish.
ZCash's long-term bullish momentum is supported by a notable rally earlier this year, with the price climbing from $20.71 to $750, a major bullish impulse. Technical analysis suggests that the 78.6% Fibonacci retracement level at $176.78 has held up during market corrections, further reinforcing the bullish scenario.
Indicators and Cautions for Traders
Technical indicators appear to favor the bulls, with the Chaikin Money Flow (CMF) climbing to +0.12, signifying strong buying pressure. Additionally, the Awesome Oscillator has remained above the zero line, indicating upward momentum.
However, traders should remain cautious, as a higher low was established at $368 towards the end of June. While the weekly and daily trends showcase bullish characteristics, the 4-hour chart currently reveals bearish signals. The $560 and $644 levels present key resistance points. Until these levels are breached, traders should stay optimistic yet vigilant against possible downward rejections.
Note: This article is for informational purposes and should not be considered financial advice.
