Zcash crosses $1,000 for the first time in nearly a decade

Zcash crossed $1,000 for the first time in nearly a decade. ZEC briefly climbed above $1,045 on Friday. The move pushed ZEC's market value to roughly $17 billion. ZEC returned to four-figure prices for the first time since the early trading period in 2016. Grayscale launched its US-listed Zcash ETF in late August. The fund has attracted fresh inflows. The fund holds more than 400,000 ZEC. Demand for privacy-focused cryptocurrencies has also returned. More ZEC is moving into shielded pools. Recent technical upgrades have made private transactions faster. Roughly $34.5 million in ZEC short positions were liquidated during the breakout. Traders who bet against Zcash bought back positions as prices rose. Total ZEC open interest has climbed toward $2.4 billion. Open interest was around $1.6 billion days earlier. The first important support zone is roughly $985 to $1,005. A move through the recent $1,045 to $1,055 high could open another attempt at $1,100. ZEC's daily Relative Strength Index is close to 80. Its four-hour Relative Strength Index is around 70. If $1,000 fails, the next major test is around $935 to $955. A deeper fall toward $900 would weaken the structure further. Below roughly $850, ZEC would return toward the area where its latest breakout began. The article identifies leverage as the main risk to the rally. Heavily positive funding rates could leave traders crowded into leveraged long positions. That could turn a pullback into a rapid liquidation event.