The anonymous cryptocurrency Zcash (ZEC), somewhat forgotten by investors in recent years, is making a comeback. What are the reasons for this, and will it last?
Zcash (ZEC) has been surging since the beginning of fall
The price of Zcash has been skyrocketing in recent weeks. ZEC, which had been rather sluggish in recent years, is now experiencing a resurgence of interest. Over the month, it has gained 354%:
The rise seems to be accelerating, as ZEC jumped 19% yesterday alone. This jump allowed it to regain its place in the top 20 most capitalized cryptocurrencies, at $619.
An “old-timer” returning to the forefront?
Launched in 2016, Zcash is a privacy-focused cryptocurrency that uses zk-SNARKs technology. Unlike a network such as Monero (XMR), users can choose between a visible transaction or a private transaction.
So how can we explain this return to the forefront? Several developments seem to have led to this rise in ZEC. One example is the growing adoption of Zashi Wallet, the anonymity-focused wallet developed by the Zcash team.
The Taychon project also played a role. This is a series of major updates for Zcash, which has notably improved the speed of synchronizations and hidden transactions. The protocol has become more modular, which has also helped to advance Zashi Wallet.
Will the price of ZEC continue its breakthrough?
The result: ZEC’s trading volume has skyrocketed (nearly $2 billion in the last 24 hours), and the price of the cryptocurrency has soared (+1282% over the last 12 months).
ZEC is still far from its 2016 record high of nearly $3,200. But this new movement is undeniable and seems, at this stage, to be based on a change in narrative and fundamentals that have evolved. While caution is warranted, Zcash is an asset to watch between now and the end of the year.
