Analysts warn of “pump and Dump ” risks associated with the sudden surge in ZEC prices, even as many major crypto figures maintain a long-term bullish outlook.
Key points to Mnemonics:
- The ZEC chart reflects the parabolic line before BNB collapsed, hinting at a possible correction to the $220–280 range next.
- Analysts warn of “hype and Dump ” moves amid paid promotions, although some crypto veterans remain optimistic over the long term.
Zcash has fallen about 30% from its peak of $750 in November – updated according to exchange rates BingX , raising concerns of bigger losses in the future, as some analysts warn of a possible “pump and Dump ”.
Symmetrical triangle signals ZEC price will drop by 50%
As of Monday, Zcash was trading in a symmetrical triangle pattern on the four-hour chart, reflecting traders' hesitation after a 1,500% rally since late September.
This setup also follows a rebound from the 200-4H exponential moving Medium (EMA 200-4H; blue line), a key support trendline, suggesting a potential move towards the upper boundary of the triangle near the 0.786 Fibonacci level at $686 in November.
Symmetrical triangles can break down either way, depending on the overall market sentiment.
In the case of ZEC, market sentiment remains fragile, pressured by uncertainty over the Federal Reserve’s interest rate policy and stressed AI industry valuations, which hurt risk assets.
Therefore, a break below the lower trendline of the triangle seems the most likely outcome if current macroeconomic conditions persist in the coming weeks.
Such a move could push ZEC price down to a bearish target of $282, around 50% lower than current levels, by early 2026.
This level aligns with the local top established in early October, as well as the 20-period EMA (denoted by the green wave) on the weekly chart.
Parabolic BNB Warns Zcash Price Will Correct 60%
According to trader Nebraskangooner, Zcash 's current structure resembles the parabolic rise and fall previously seen in BNB before a sharp correction.
Similar to BNB in 2021, ZEC lost momentum after an overextended rally. The price of the coin failed to reclaim parabolic support, as predicted by Zcash bulls who had set a target of $1,000 in early November.
As NebraskanGooner noted, such patterns typically precede deeper retracements of at least 60%. That puts ZEC ’s potential downside target at around $220–280.
Analysts back pump and Dump stories
Contributing to the bearish sentiment, Mark Moss, a Bitcoin-focused venture capitalist and educator, Chia screenshots of outreach messages from marketing firms offering paid partnerships with ZEC.
Market analyst Rajat Soni warned that the recent hype around ZEC could be an attempt to “find exit liquidation ,” citing fabricated headlines falsely reporting that Fidelity analysts had predicted Zcash could hit $100,000.
Contrary to the bearish trend, crypto industry heavyweights such as BitMEX founder Arthur Hayes and Gemini co-founders Tyler and Cameron Winklevoss remain bullish on Zcash, with Hayes expecting the ZEC price to hit $10,000.
Source: Cointelegraph
