Zcash fell 16% from its recent peak above $1,200, setting off $28.37 million in liquidations over the past day. Long positions took the brunt of the losses, but ZEC still trades well above its major moving averages after its rapid run-up.
Zcash (ZEC) dropped about 16% from its most recent peak above $1,200, reversing sharply after an explosive rally. The decline triggered a wave of forced selling across leveraged positions.
Millions liquidated
Leveraged traders rushed to close positions as the token fell, and ZEC-related liquidations totaled $28.37 million in the last day. Of that, $23.75 million came from long positions, while $4.62 million came from short liquidations.
The imbalance shows bullish traders, positioned for more gains, were caught on the wrong side of the reversal. Selling pressure intensified during the most recent leg down, and $11.49 million in liquidations were recorded over 12 hours, of which $9.40 million came from long positions.
A four-hour total of $1.34 million, including $1.19 million in liquidated shorts, showed how fast sentiment flipped during the rally. Despite the leverage-driven washout, ZEC is still technically stronger than before its breakout.
Can Zcash hold support?
The price still trades well above its major moving averages on the daily chart. The 50-day and 100-day averages sit near $689 and $646, while the 20-day average is close to $910 and the longer-term average is near $531. In just a few weeks, ZEC climbed from under $500 to over $1,200, setting the stage for forced deleveraging and profit-taking.
Meanwhile, the Relative Strength Index has cooled to roughly 64 after dropping from overbought territory, still above neutral but pointing to weaker momentum. Traders will likely concentrate around the $1,050–$1,100 range as short-term support; a clear break below it could expose ZEC to a deeper retracement toward the $910 moving average.
The liquidation frenzy looks like a reset after an unusually fast rise, but ZEC's rally stays exposed to sharper swings until volatility eases and buyers reclaim the recent highs.
Source: U.Today
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