Zcash (ZEC) Price Targets $594 Next Amid Pullback Risks — Will Bulls Finally Yield?

Core Insights - Zcash (ZEC) has shown significant price performance, rising over 17% in the last 24 hours and approximately 178% over the past month, despite a generally weak crypto market [1] - The price has confirmed a flag breakout and recently surpassed $438, with the next target set at $594 [1] Market Dynamics - Open interest in Zcash futures has reached a six-month high of $337 million, indicating aggressive long positions among traders [3] - On Binance, long liquidations amount to $30.27 million, significantly higher than short liquidations at $12.43 million, suggesting a market heavily skewed towards long positions [4] Potential Risks - The current market imbalance could lead to fragility in the rally, with a potential price pullback if ZEC falls below $450, and a more significant correction if it drops under $342 [5] - A bearish divergence has been observed, where ZEC's price has made higher highs while the Relative Strength Index (RSI) has formed lower highs, indicating a potential loss of upward momentum [6][8] Positive Indicators - Despite the risks, large spot wallet inflows remain robust, with the Chaikin Money Flow (CMF) at 0.13, indicating positive money inflows [9] - A rise above 0.14 in CMF would suggest increasing buyer dominance, while a break over 0.24 could indicate aggressive accumulation by whales [9]