Zcash (ZEC) Leads Market Pullback With 24% Drop, Analysts Warn Of Another Crash Ahead

Overview

The cryptocurrency market is experiencing significant turbulence, with Zcash (ZEC) leading a notable pullback. This altcoin has recently faced a sharp decline, raising concerns among analysts about potential further corrections in the near future.

Zcash’s Recent Performance

Zcash began December with a substantial one-day drop, leading the losses among prominent cryptocurrencies. Following a market correction late on Sunday, ZEC fell to one-month lows, losing crucial support levels. Over the past three months, Zcash had previously experienced a remarkable rally, surging significantly to its all-time high in early November. However, the end-of-November pullback saw ZEC fail to retest its key support area, closing below this level for the first time in nearly a month.

This decline continued as Zcash broke below other significant support levels, dropping below the $400 mark and reaching a local low before slightly bouncing back. Analysts have expressed concerns regarding Zcash’s stability, citing that the cryptocurrency has registered the largest price drops in both weekly and daily timeframes.

Analyst Insights

Sjuul from AltCryptoGems noted that ZEC has seen declines of 40.2% on a weekly basis and 24% daily. The analyst pointed out that the altcoin lost its upward trend after falling below a key moving average, suggesting that without reclaiming this level, Zcash may face further declines. Another analyst, Altcoin Sherpa, indicated that ZEC could potentially drop another significant percentage, with projections suggesting it may fall to around the $200 mark after losing crucial support.

Conversely, some experts believe that the correction could be a normal outcome after such a substantial rally. Mert Mumtaz, co-founder and CEO of Helius, stated that corrections following large increases are typical, asserting that Zcash still demonstrates significant growth over three-month and one-year timeframes.

Another market observer, identified as Make Sense, suggested that Zcash is at a critical juncture. If it maintains its current price range, there is potential for recovery, but failure to hold these levels may lead to further declines.

Impact on the Crypto Market

• Zcash has led the recent market pullback, indicating heightened volatility within the cryptocurrency sector.
• Analysts are divided on the future of ZEC, with some suggesting further declines while others see potential for recovery.
• The significant drop in Zcash’s price has raised concerns about the stability of other cryptocurrencies in the market.
• The discussion around Zcash’s utility, particularly its privacy features, continues to be a focal point among analysts.
• The current market situation highlights the unpredictable nature of cryptocurrency trading, with analysts anticipating increased volatility in the near future.

Updated: 12/2/2025, 9:31:30 AM