Zcash (ZEC) maintains its upward momentum, aiming for the 400 USD mark.

Zcash (ZEC) continues to affirm a bullish outlook, trading around 360 USD at the time of writing on Friday. This privacy-focused electronic money has been steadily rising over the past few weeks, despite market volatility and the prevailing cautious sentiment in the cryptocurrency space.

The appeal of ZEC stems from the growing trend of users towards Electronic Money that emphasizes privacy. Zcash operates a privacy-oriented blockchain, allowing users to transfer tokens through “shielded pools” ( to protect transaction history from external scrutiny.

According to CoinMarketCap, “the hidden supply represents ZEC tokens held in private addresses using zero-knowledge proofs mechanisms, specifically zk-SNARKs, which allow transaction validation without disclosing information about the sender, the receiver, or the transaction amount.”

The surge in interest from retail investors reinforces the bullish potential of Zcash

Zcash currently leads the group of strong short-term derivatives markets, with an open contract value of )OI( futures contracts maintaining around 518 million USD on Thursday, just slightly lower than the record 521 million USD recorded on Monday.

Open contracts, representing the total notional value of unsettled contracts, are steadily increasing – a sign that traders have confidence in the ability to maintain a bullish trend of ZEC in both the short and medium term.

![zec-bullish])https://img-cdn.gateio.im/webp-social/moments-eae183cfcb2859bac0f7e19e90808b1a.webp(Open Contract of ZEC | Source: CoinGlassHowever, the picture is not entirely positive as Zcash has still recorded a negative funding rate since October 22, reflecting the trend of profit-taking by traders and reducing leverage. According to data from CoinGlass, this index was at -0.0566% on Thursday, a sharp decrease from -0.0010% on Tuesday. If this trend continues, it could put pressure on the bullish momentum, hindering ZEC from conquering important milestones such as the yearly high of 375 USD and the psychological resistance level of 400 USD.

![])https://img-cdn.gateio.im/webp-social/moments-fd15df8fac6551e1954f1415086f66db.webp(Funding rate of ZEC | Source: CoinGlass## Technical outlook: Zcash presents mixed technical signals

Zcash is trading around 360 USD at the time of writing this article on Friday, bolstered by buy signals on the MACD )Moving Average Convergence Divergence( 4-hour chart. If the MACD )green( line remains above the signal line )red(, investors may consider cautiously increasing their risk level.

The short-term outlook for ZEC is supported by upward-moving moving averages, with the 200-period EMA at 223 USD, the 100-period EMA at 274 USD, and the 50-period EMA at 308 USD, indicating that the bullish trend is being reinforced. A closing above the support level of 360 USD will further affirm the strength of the bulls, paving the way for Zcash to challenge the yearly high at 375 USD. In the medium term, the next target for the bulls is to conquer the resistance level of 400 USD.

![])https://img-cdn.gateio.im/webp-social/moments-880312e368876482e9f090804f18716d.webp(ZEC/USDT 4-hour chart | Source: TradingViewHowever, the 4-hour RSI is currently at 65 and showing signs of decline, warning traders to maintain an optimistic but cautious attitude. Continued weakness may signal a temporary slowdown in the bullish momentum, creating opportunities for profit-taking. Important support levels to watch include the short-term uptrend line around 340 USD, the 50-period EMA at 308 USD, and the 100-period EMA at 274 USD.

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