Zcash Overtakes Solana in Trading Volume...Breaks $400 and Aims for $500 Mark

▲ Zcash (ZEC), Solana (SOL)/AI generated image

Zcash (ZEC) has surpassed Solana (SOL)'s 24-hour futures trading volume on Hyperliquid, indicating a rapid shift in virtual asset market sentiment towards privacy coins.

According to a U.Today report, on May 4 (local time), Zcash emerged as the star of the futures market, surpassing Solana, a representative high-liquidity asset. Zcash concluded its months-long price convergence process, forming a powerful impulse wave, recovering key moving averages, and breaking through the $400 mark. This represents a strong expansion phase, far beyond a mere slow ascent. Along with the price surge, trading volume has exploded, and the Relative Strength Index (RSI) has also risen, demonstrating strong momentum.

While the technical structure suggests further upside potential, the price is currently overextended in the short term. After such sharp rises, corrections or consolidation phases typically occur. If buying pressure maintains control, the next target price is expected to be in the macro resistance zone of $450 to $500. Conversely, if it loses upward momentum, there is a high probability of a decline to the $300 to $340 area, where the moving averages follow. The surge in derivatives trading volume signifies an increase in speculative positions, acting as a factor that maximizes volatility.

Solana, on the other hand, is showing a trend opposite to Zcash. Its chart is largely stagnant, consolidating with low volatility, and there have been no significant breakout attempts after a downtrend. The current price is trapped below the downward-sloping 50-day and 100-day Exponential Moving Averages (EMA), obstructed by layered resistance. With only sluggish movement continuing without a structural breakout or volume expansion, it is being pushed out of market participants' interest.

As traders pursue clear direction and volatility, there is a distinct phenomenon of capital moving from Solana to Zcash. It appears difficult for Solana to be at the center of the market until it recovers key resistance levels and breaks out of its consolidation phase. Capital flow in the virtual asset market prioritizes actual profit opportunities over principles, and currently, that choice is directed towards Zcash. Zcash's explosive trading volume is expected to be a watershed moment for its future price trajectory.

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