Zcash price enters 2026 after one of the strongest rallies in the market, still up about 53% in the past 30 days and more than 780% year-on-year. The trend remains inside an ascending channel, but a small pullback recently tested bulls. That dip came from profit booking, not trend failure.
New buying interest, improving flows, and a key support zone are now keeping the breakout structure alive.
Dip Buyers Absorb Sell Pressure Despite Failed Trendline Test
Zcash trades inside an ascending channel, where higher highs and higher lows define the uptrend. The upper trendline rejected price on December 29, causing a brief pause in momentum. That rejection led to a near 10% drop (highlighted later) over December 29–31, but the structure remains intact.
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The drop came with possible profit booking. On December 29, exchanges saw inflows of $38.22 million, followed by $7.88 million on December 30. The green spikes show selling pressure.
However, the mood flipped by December 31, when flows turned to $16.63 million in outflows, hinting at dip buying and supply leaving exchanges again. As a result, the prices bounced again.
The Money Flow Index (MFI) confirms this. MFI, which tracks money entering or exiting an asset based on volume and price, climbed while price dipped between December 29 and December 31. This is the same time when the bulk of the profit booking (via spot inflows) happened.
This is a bullish divergence and suggests dip buyers used the pullback to accumulate instead of exiting positions. They helped offset the profit booking pressure.
As long as ZEC stays above the lower boundary near $500, the bullish structure does not break. Provided the MFI continues to trend higher, and the spot flows remain buyer-aligned.
Key Zcash Price Levels For Breakout Confirmation
The first test for buyers is a clean daily close above $559, which confirms renewed strength. That would need an 8% surge.
Above $559, the next zone to watch is $596–$626. This band is the Zcash price breakout window. Surpassing it, depending on where the price sits in the channel, opens the path toward the measured targets at $657 and $699. That kind of move will keep the channel breakout target of above 84% intact.
Below $500 (complete daily candle close), sentiment turns weak, and the structure risks a breakdown. It would then be interesting to see if the lower trendline of the channel provides support or breaks. Until that happens, buyers have control.
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