Zcash fell below $1,000 as leveraged traders closed bullish positions and exchange-traded fund outflows approached $30 million. Previously inactive wallets also sent ZEC to exchanges, and they still hold about 19,000 ZEC.
ZEC traded at approximately $965 on Nov. 12, after a 24-hour low near $953. Leveraged traders abandoned bullish positions as selling pressure intensified.
Kairos traces the selloff mainly to derivatives selling
Kairos Research identified the rapid closure of a 12,500 ZEC long position on Hyperliquid as a pivotal moment. Market orders closed the long position within two seconds at 15:29:58 UTC on Nov. 10, just as Bitcoin began retreating.
ZEC then fell from $1,193 to $1,001 as traders sold a net 160,000 ZEC across four perpetual futures exchanges over 90 minutes. Binance accounted for 74,000 ZEC, followed by OKX with 42,000, Hyperliquid with 31,000 and Bybit with 13,000.
Kairos found that traders mainly unwound existing bullish positions rather than facing forced liquidations. On Hyperliquid, taker sales tied to closing longs reached 109,000 ZEC between 14:30 and 17:00 UTC, while forced liquidations accounted for only 6,900 ZEC.
Dormant wallets send ZEC to exchanges
Deposits accelerated after the decline. By 18:00 UTC on Nov. 11, Coinbase had received another 16,300 ZEC, including 9,800 ZEC from three wallets inactive since withdrawing funds from Coinbase Prime in November and December 2025.
Those wallets still hold approximately 19,000 ZEC, and Binance received another 8,600 ZEC in large deposits over the same period. The combined 24,900 ZEC in new deposits raises the prospect of additional spot selling, although transfers alone do not establish an intention to liquidate.
Grayscale fund heads toward second week of outflows
Grayscale's Zcash ETF, ZCSH, is heading toward its second consecutive week of net withdrawals. SoSoValue data showed approximately $13 million in outflows during the week ending Nov. 6, followed by another $17 million this week.
The fund's total net assets declined to $562 million from about $772 million at the end of the previous week. However, Kairos found no evidence that fresh ETF redemptions caused the initial Nov. 10 selloff.
Grayscale keeps its bullish case
Grayscale said in a research report that Zcash's monthly active developer population had roughly doubled over two years. Zcash also activated its NU7 upgrade on Nov. 6, cutting its target block interval from 75 seconds to 25 seconds.
Even so, with previously inactive wallets still holding another 19,000 ZEC, renewed selling could test ZEC's ability to recover above $1,000.
Source: CryptoSlate
Trading involves risk.
Risk Disclaimer
