Zcash Price Forecast: Steady ETF inflows and retail confidence strengthen bullish momentum

• Following a 6% rebound the previous day, Zcash inches higher on Wednesday, taking its run of gains into a fifth consecutive day.
• More than $3 million flowed into the ZEC Spot ETF on Tuesday, extending its inflow streak to six consecutive days.
• A 16% rise in Open Interest over 24 hours and a positive funding rate point to continued retail confidence in Zcash.

Above $1,300 on Wednesday, Zcash (ZEC) continues its gradual recovery towards key resistance near $1,373. Buying pressure remains persistent in Grayscale’s ZEC-focused Exchange-Traded Fund (ETF), which has attracted inflows for six consecutive days, with more than $3 million added on Tuesday. Meanwhile, a 16% increase in Open Interest over the past 24 hours, alongside elevated short liquidations, points to a buy-side bias in Zcash derivatives trading.

A sustained recovery towards the $1,698 swing high requires Zcash to clear key resistance at $1,373.

Zcash draws bullish interest as ETF inflows extend to six days and Open Interest climbs

According to SoSoValue, inflows into Grayscale’s ZEC-focused ETF (ZCSH) reached $3.45 million on Tuesday, compared with $1.96 million the day before. The figures suggest renewed institutional and retail interest in Zcash, lending support to its near-term recovery. Inflows now total $5.41 million for the week so far, following last week's $41.09 million, with the inflow streak extending to a sixth consecutive day.

For retail activity, figures from CoinGlass put ZEC futures Open Interest (OI) at $2.91 billion, a 16% increase over the past 24 hours. This signals growth in the notional value of active positions. An increase in the spot price or a build-up of positions typically drives such a rise in OI. 

Of the $8.11 million in total liquidations over the same period, short positions accounted for $7.58 million. That points to a buy-side bias, further supported by a positive funding rate of 0.0037%.

Technical outlook: Zcash eyes a rebound above $1,600

At the time of writing on Wednesday, Zcash remains above $1,300. Its position above the 50- and 200-day Exponential Moving Averages (EMAs), at $1,203 and $820 respectively, maintains a constructive bullish bias, with both averages supporting the broader uptrend.

At $1,373, the 50% retracement of the decline from $1,698 to $1,049 is drawing closer as the price edges higher. This level limited gains earlier this month; a confirmed break above it could pave the way towards the $1,698 swing high.

Buying pressure remains positive without appearing overstretched, as indicated by a Relative Strength Index (RSI) reading of around 55. Momentum therefore favours further gains, while a strengthening positive profile in the Moving Average Convergence Divergence (MACD) also suggests continued interest in the upside.

Immediate downside support lies at the 50-day EMA near $1,203 and the Fibonacci anchor at $1,049. A more pronounced decline would shift attention to the 200-day EMA at $820.

(The technical analysis of this story was written with the help of an AI tool. Know more.)