Zcash (ZEC) Soars To Six-Month Highs After 110% Rally – Can It Break The $700 Barrier?

Zcash (ZEC) has surged to its highest level since 2025, but the rally is now approaching a major technical barrier. While some analysts point to the first “constructive signs” in months, others warn of potential signs of exhaustion.

ZEC 110% Rally Faces Key Barrier

Zcash has been among the crypto market leaders amid the recent volatility, rallying more than 21% over the past week and 110% over the past 30 days. Throughout May, the cryptocurrency has jumped from the $350 barrier to reclaim the $670 area, reaching a six-month high of $690 on Wednesday.

Amid this performance, market observer Ali Martinez highlighted a multi-month horizontal channel that has been forming since October between the $192 and $698 level. After retesting the channel’s bottom in March, ZEC has jumped roughly 250% toward the upper zone of the channel, nearing a retest of the macro resistance.

The analyst affirmed that the next step “is seeing whether buyers step in hard enough to force a breakout” from the crucial resistance zone. Nonetheless, he noted that Zcash may be showing signs of exhaustion as it approaches the “same resistance zone that triggered a major rejection back in November,” between $700 and $730.

According to the post, ZEC’s TD Sequential is currently flashing a sell signal on the weekly chart while momentum indicators “are starting to look stretched again,” making it an important setup to watch.

Zcash flashes a sell sign in the weekly timeframe. Source: Ali Charts on X

The 250% move from the bottom to the top of the channel was anticipated by a TD Sequential buy signal on the weekly chart, Martinez noted, asserting that the correction could be more significant since the sell signal has appeared in the weekly timeframe.

He suggested that Zcash could see a 25% correction toward the $500 area as the initial target, adding that a 45% drop toward the $380 support may follow if a deeper retracement occurs.

“So, while both HYPE and Zcash remain in strong uptrends, they are also entering zones where risk increases significantly,” he warned.