Zcash (ZEC) is having its most volatile week of the year. The coin is currently down over 35% from its recent highs of around $750. Despite the sharp correction, many experts remain bullish on ZEC.
Why do they believe this correction won’t derail future bull markets? The main details are:
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Why experts are optimistic about Zcash
With a focus on privacy, ZEC is more than just a cryptocurrency. Many investors see this as a symbol of the growing demand for security and confidentiality in the cryptocurrency space.
Although prices have fallen precipitously, the amount of ZEC locked in Zcash shielded pools (the network’s core privacy layer) has skyrocketed. This growth reflects the growing demand for privacy-sensitive transactions.
Sealed pools are a mechanism in Zcash that enables private and anonymous transactions.
According to historical Zcash Total Shielded Pool data, the number of ZECs locked in the pool increased from approximately 2.6 million at the end of March to more than 4.1 million by early November. The growth curve has become almost vertical in recent months.
“Zcash’s shielded pool is literally vertical. Privacy properties are improving in real time. The way a recursive loop turns speculation into stronger privacy properties is one of the most surprising things I’ve seen in cryptocurrencies,” said Mart, CEO of Helius Labs.
A new report from a16z Crypto, the blockchain industry’s leading venture fund, also highlighted that privacy concerns are more urgent than ever as cryptocurrency adoption grows among mainstream users.
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a16z highlighted several important factors.
In 2025, Google searches for keywords such as cryptocurrency privacy, blockchain privacy, and financial privacy skyrocketed. The railgun protocol, which hides transaction paths, has led to a rapid increase in capital inflows over the past two years. The US Treasury has lifted sanctions on Tornado Cash, signaling a loosening of regulatory stances on privacy protocols.
Omid Malekan, a professor at Columbia Business School and a cryptocurrency expert, expressed a similar view. He noted that while privacy has long been recognized as important, it has been ignored by the industry for too long.
“Speaking of a friend coming home, I think the rise in ZCash is something that everyone involved in cryptocurrencies should be happy about, regardless of their personal financial exposure or the future direction of the coin,” Omid Malekan said.
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BitMEX co-founder Arthur Hayes also urged holders to withdraw their ZEC from centralized exchanges and self-custody their assets.
The optimism shared by these industry players goes beyond short-term price performance. Their voices could influence retail investors and help ZEC recover.
Analysts’ views on ZEC’s November revision
Many analysts believe that ZEC’s recent correction is natural and healthy, rather than a sign of weakness.
Some experts still expect ZEC to reach a value of as much as $10,000 in the future. They argue that such retracements are important to balance market sentiment and maintain a healthy bull market.
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“Zcash will go through several retracement stages to reach $10,000, which is normal and healthy,” investor Yoshi said.
If you zoom in on the Sealed Pool data, you’ll see a slight decline over the past few days. However, this pullback is not surprising as many whales have enjoyed returns of over 1,000%.
“It’s a healthy move. Many whales rely on the 1,000% or more increased purchasing power, and we expect them to want to realize some of that or put some of it into other assets,” explained analyst Vini Barbosa.
Additionally, ZEC’s lower inflation rate, thanks to Bitcoin-like halving mechanisms, combined with increased privacy awareness, forms a strong fundamental foundation. Analysts believe that these factors are likely to keep ZEC on a long-term upward trend.
ZEC’s bullish narrative has also sparked a rally among smaller privacy-themed altcoins. Experts predict that privacy-focused altcoins could soon gain institutional attention. These could also be included in digital asset trusts (DATs), which could act as a “Trojan horse” to bring new capital to the market.
