Zcash Price on a 35% Breakdown Path? Yet One Group Remains Optimistic

Zcash (ZEC) price action suggests a bearish continuation structure, specifically a bear-flag breakdown initiated on January 16, which projects a potential 35% drop toward $266. However, market signals are mixed. While the structure favors bears, momentum indicators like the Chaikin Money Flow (CMF) show a recent upward break, fueling a short-term rebound, though CMF remains below zero, indicating insufficient buying pressure to reverse the trend. On-chain data reveals that whale and mega-whale addresses have increased their holdings, suggesting they are buying weakness, which explains the improved CMF. Conversely, retail participants appear to be selling into rallies. The Money Flow Index (MFI) shows bullish divergence, confirming persistent dip buying, likely from large holders. The immediate critical support is $326; a break below this level could accelerate the move to the $266 target. To invalidate the bearish outlook, Zcash needs to reclaim the $402 resistance, followed by the key zone at $449.

(Source：BeInCrypto)