Zcash Price Forecast: ZEC bullish reversal brings $1,698 peak into focus on NU7 upgrade

• A 9% rise on the previous day leaves Zcash trading above $1,250 on Wednesday, pointing to a bullish reversal.
• More than $1 million flowed into the Zcash ETF on Tuesday following Monday’s $10 million outflow, pointing to easing selling pressure.
• Scheduled for 6 November, Zcash's final NU7 mainnet activation will cut block confirmation time to 25 seconds.

A 9% rebound on the previous day, linked to the forthcoming NU7 upgrade, has left Zcash (ZEC) above $1,200 on Wednesday and showing signs of a bullish recovery. A report on Zcash holders published by Blockworks on Tuesday highlighted steady expansion in network activity. ZEC’s technical outlook remains bullish, with buyers looking for the rally to extend towards $1,698.

Institutional Selling Pressure Subsides Before NU7 Upgrade

The final decision to activate the NU7 upgrade on the mainnet has been announced by Zcash Open Development Lab, with activation scheduled for 6 November at 00:50 GMT. The upgrade centres on cutting block confirmation time from 75 seconds to 25 seconds, increasing transaction speed by 3x. It also retires the legacy v4 transaction pool, suspending the ZEC tokens held in the Sprout shielded pool, and introduces the Network Sustainability Mechanism (NSM). Under this mechanism, 60% of fees go to the NSM Value Balance, with the remainder directed to miners.

Following three consecutive weeks of heavy selling, institutional investors continue to face pressure. According to SoSoValue data, Bitwise’s ZEC-focused exchange-traded fund (ETF) attracted $1.61 million on Tuesday, signalling a positive near-term shift after Monday’s $10.45 million in outflows. On a weekly basis, total outflows have fallen sharply, from $93.56 million in early October to $19.15 million last week. This suggests that institutional selling pressure is easing.

Meanwhile, figures from Blockworks put the increase in network transactions over the last three months at 21%, taking the total to roughly 710,000. More than half were non-shielded transactions. The network’s Real Economic Value (REV) also reached $204,000, a rise of almost 85%.

Technical Outlook: Zcash Targets a Rally Back Towards $1,700

At $1,260 at the time of writing on Wednesday, Zcash retains a bullish short-term bias. The four-hour chart places ZEC above its 50- and 200-period exponential moving averages (EMAs), which stand at $1,181 and $1,230, respectively.

The previous day’s 9% recovery carried the price above a descending resistance trendline. That line now provides support around $1,183, strengthening the bullish structure. Attention has turned to horizontal resistance at $1,296, established by the 9 September high. A confirmed break above this level could take the rally towards the 26 September peak of $1,698.

On the four-hour chart, the Relative Strength Index (RSI) stands close to 65. Alongside this, the Moving Average Convergence Divergence (MACD) line maintains a positive upward trajectory, suggesting that buying pressure is persisting rather than fading.

Should the price decline, the 200-period EMA at $1,230 offers the nearest support. Below it lies a structural support zone formed by the break above the former resistance trendline near $1,183 and the 50-period EMA at $1,181.

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