Zcash (ZEC) Price Risks 30% Drop Amid $41M Long Liquidation Threat

Zcash (ZEC) price risks erasing its latest recovery as a bearish technical setup and $41 million in potential long liquidations threaten a 30% price drop. The ZEC/USDT daily chart shows price approaching a resistance confluence around $490-$500, where the channel's falling upper trendline meets a horizontal supply zone.

Market Situation

Zcash has rebounded sharply from its early-June crash. However, derivatives positioning shows the rally faces another risk.

■Zcash's Binance liquidation heatmap shows its largest individual liquidity cluster sitting around $500, with roughly $1.55 million in potential short liquidation leverage concentrated near the level.

■The potential long liquidation threat is valued at $41 million.

Technical Analysis

ZEC's relative strength index (RSI) has recovered to around 55, showing improving buying momentum but no decisive bullish breakout. The token is holding above its 50-day EMA (red) near $455.

Expert Note

The Zcash price is influenced by a combination of technical and fundamental factors. If it cannot decisively break above the $500-$520 resistance area, the price may face a 30% drop risk. This situation will be a significant test for investors and markets.