Zcash pulls back 8% as Grayscale ETF follows 60% rally

Zcash fell 7.6% to $787 on Wednesday. The move followed a 60% rally. CoinDesk data showed a 56% weekly gain that took Zcash to an eight-year high near $880. Grayscale's Zcash Trust converted to a spot ETF. The fund began trading on NYSE Arca on Tuesday under the ticker ZCSH. The fund holds up to 393,000 ZEC. Those holdings are worth more than $260 million. Zcash rose from below $600 to above $880 in the days before the listing. The price reached its highest level since 2018. ETF anticipation powered part of the move. The rally also drew 'next bitcoin' chatter linked to Zcash's 21 million supply cap and proof-of-work design. ZEC perpetual futures open interest nearly doubled to $1.8 billion during the rally. Borrowed money accelerated the climb and can force selling during a decline. Bitcoin fell 2% to $78,900. Most major cryptocurrencies also traded lower as the week-long crypto rally paused.