Zcash Price Prediction: ZEC aims for $400, with a potential rise of over 45%!

The technical chart for Zcash (ZEC) is showing strong signs of an upward breakout, with the potential to reach the $400 level not seen since early 2022. The key support for this bullish setup is the classic “cup and handle” pattern forming on the hourly chart. If the ZEC price can decisively break through the neckline resistance level at $296 and confirm the pattern, the theoretical target price based on historical patterns will approach $400, indicating a potential rise of about 45% from current levels. Currently, the ZEC price is above the key short-term and long-term MAs, and the RSI remains neutral, allowing room for further upward movement.

Technical Pattern Analysis: ZEC's “Cup and Handle” Pattern Indicates a Large Pump

The bullish pattern of Zcash (ZEC) is strongly supported by classic technical indicators, indicating that the price may experience a significant rise.

· Classic pattern emerging: On the hourly chart, ZEC is forming a classic “cup and handle” pattern, which historically is often a precursor to significant price rebounds.

· Structure: This pattern shows that ZEC is consolidating below the key resistance level near 296 dollars, which forms the edge of the “cup”.

· Potential pump target: Historically, once the price decisively breaks through this level of resistance, traders typically add the depth of the cup to the breakout point to gauge the potential rise. In the case of ZEC, this anticipated target price will be close to 400 USD, indicating an approximate rise of 45% from the current level.

· Momentum indicator confirmation: The bullish structure of ZEC is further supported by its technical indicators, currently trading above the 50-hour and 200-hour exponential moving averages (EMA), indicating that both short-term and long-term momentum maintain a consistent bullish tendency.

· RSI remains neutral: The Relative Strength Index (RSI) has stabilized near the neutral zone, which means that ZEC still has enough room to rise before reaching overbought conditions.

· Volume accumulation: The volume trend shows a significant accumulation in the $260 to $270 range, which reinforces the judgment of strong buying interest for ZEC during the construction of its “handle” phase.

Breakthrough and Risks: Key Price Points Determine ZEC Short-term Trend

The breakthrough of 296 USD and the defense of 265 USD are the key determining factors for the short-term fate of ZEC.

· Breakthrough confirmation signal: If the ZEC price can decisively close above $296 with increasing trading volume, this will confirm the “cup and handle pattern” and trigger a breakout rally.

· Bearish reversal warning: Conversely, if ZEC fails to hold above the 50-hour EMA, it could invalidate the bullish setup and bring the risk of a pullback to near the 200-hour EMA (around $240).

· Minimum resistance upwards: Despite the risk of a pullback, as long as ZEC can maintain its rounded bottom structure, the path of least resistance still seems to be upwards.

· The cautious voices of analysts: However, some skeptics express uncertainty about the ongoing bullish momentum in the ZEC market. Analyst Henry warns that after reaching a peak of 311 dollars, ZEC seems to be losing momentum and is forming a classic bearish reversal signal that looks like a “head and shoulders” pattern.

· The risk of the “head and shoulders” pattern: The neck line of the “head and shoulders” pattern is around 265 dollars. If it fails to hold above this line, it may send ZEC back to 240 dollars or lower. The recent green bounce around 270 dollars lacks volume intensity, similar to a “dead cat bounce.”

· Critical Moment: Unless bulls quickly reclaim the $300 to $305 zone, momentum may decisively shift to bears. Traders warn that the $311 upper shadow may signal exit liquidity, indicating that ZEC's recent rebound may be nearing exhaustion due to accumulated selling pressure.

Conclusion

Zcash (ZEC) is at a critical crossroads, with the formation of its “cup and handle pattern” suggesting significant bullish potential, targeting 400 USD. However, analysts' warnings of a potential “head and shoulders” pattern remind the market to remain cautious of the potential sell-off risks near the 311 USD high. In the short term, the breakthrough of 296 USD resistance and the defense of 265 USD support will be key observation points in determining whether ZEC will continue its strong rise or fall into a deep correction.

Disclaimer: This article is for informational purposes only and does not constitute any investment advice. The cryptocurrency market is highly volatile, and investors should make decisions with caution.