Zcash Rises 9% on Privacy Coin Bets, Coinbase Morpho Loans
Zcash (ZEC) price rose by approximately 9% to $1,662.37, significantly outperforming a modestly rising Bitcoin (+0.9%) and driven by a sector-wide rotation into privacy coins.
The uptick was driven by a broad rotation into privacy coins, indicating narrative-driven capital flows. Trading data showed that Zcash recorded about $1.4 billion in transaction value, with trading volume up about 20% in the last 24 hours.
The rally appears driven by a market-wide rotation into privacy-focused assets, cryptocurrency analysts said. Dash ($DASH) surged 14.8% in the same period after activating shielded transactions, highlighting broad demand for the narrative.
Zcash, as a sector leader, is capturing this flow. The move is less about a new ZEC-specific catalyst and more about capital chasing the strengthening privacy meta.
While no new major catalyst broke in the last 24 hours, momentum continues from recent developments: the 21Shares ZEC ETP launch on September 22 and the late-August Grayscale ETF.
Additionally, Coinbase enabled Morpho loans for Zcash on September 26, allowing it to be used as collateral, which may tighten exchange supply.
Coinbase added fixed-rate bitcoin-backed loans through Morpho Midnight, allowing users to borrow USDC with an interest rate and repayment date set at the time of borrowing.
The new option sits alongside Coinbase’s existing variable-rate loans, which use Morpho Blue. Those loans have grown to more than $1.4 billion outstanding, backed by roughly $3 billion in collateral, Coinbase said.
Traders affirmed that existing bullish narratives around institutional access and utility are being reinforced, supporting price discovery.
The immediate test is the weekly close for major cryptos like Bitcoin on September 27, which will set the tone for risk assets. Technically, ZEC faces immediate resistance at the Fibonacci swing high of $1,677.
A confirmed break above could target the $1,687–1,728 extension zone. Key support sits at $1,614–1,633; a break below this level may trigger a deeper correction toward the volume-area high at $1,592.
The trend is bullish but extended, with price action hinging on holding recent gains. Hence, traders said they are watching for a reaction at the $1,677 level for the next directional cue.
Zcash’s surge is fueled by sector rotation and sustained institutional interest, though short-term consolidation is possible after a sharp run. Zcash Tops $1,000 as Investors Rotate into Privacy Coins
