The on-chain data indicates a growing confidence among the largest holders of Zcash. The wallets ranked among the top 100 addresses increased their combined ZEC holdings by 2.7% in the last 24 hours. This accumulation occurred while the price fell nearly 6%, indicating strategic buying rather than reactive selling.
This behavior reflects long-term optimism. Large holders often accumulate during dips when they anticipate higher future prices. Their actions suggest that expectations for recovery remain intact, providing a support demand base that could stabilize ZEC during periods of greater market uncertainty.
Technical indicators support this constructive outlook. The Squeeze Momentum indicator currently signals the formation of a squeeze. This setup often precedes a sharp price movement when volatility expands after a period of compression.
Importantly, the histogram shows that bullish momentum remains active. If the squeeze releases while momentum remains positive, the resulting volatility could favor an upward movement for ZEC. Overall market stability will be crucial in determining whether this breakout materializes.
