ZEC Shows Potential Breakout as Retail Buying Momentum Approaches Key Resistance Level

Zcash (ZEC) increased by approximately 4% on Tuesday, approaching a significant resistance level and indicating a possible reversal after five months of decline. Open futures contracts rose over 10% in the past day, reaching $494.77 million, suggesting growing activity and interest from retail traders.
Recent market data indicates a shift in sentiment. About $1.59 million was liquidated in the past 24 hours, with short positions accounting for $1.11 million, showing some bearish bets are being closed. Meanwhile, the long/short ratio is 1.0751, indicating a slight advantage for long positions and continued buying pressure.
On-chain indicators remain relatively stable. The protected ZEC tokens account for 31.13% of the total circulating supply. Although there hasn't been significant growth in adoption, any increase in usage could help push prices higher.
Looking at the 4-hour chart of ZECUSDT, the price is testing the 265–270 resistance zone after bouncing from the 210–220 support area. The short-term trend appears positive, with higher lows forming and the price staying above 247–255, which is now acting as support.
If ZEC convincingly breaks above the 1.59 level, it could target 285 and even 330 if buying momentum remains strong. However, if it fails to break this resistance, the price could fall back to 247, and if it drops below that, it may decline toward around 220.
Since the price is currently near the resistance level, entering a long position here carries risks. A clearer opportunity would be a confirmed breakout above 270 or a pullback near the support level. Overall, the trend is becoming more positive, but this resistance zone is crucial for what happens next.
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