The price of Zcash is currently trading within an adjustment triangle pattern, reflecting short-term indecision from buyers and sellers, rather than a manifest weakness. It is worth noting that the price continues to respect the upward trend line that has guided the bullish trend in this cycle. As long as this structure is maintained, the overall setup remains constructive.
The behavior of volume provides key context. Using Wyckoff-style volume color analysis, blue bars indicate buyer-led activity, while yellow and red bars reflect greater seller control.
Although buying volume has cooled recently, the blue bars continue to dominate. A similar slowdown occurred after October 17, when buying pressure briefly weakened, before Zcash recovered over 300%.
The cooling of volume alone did not end that trend. As long as the blue bars prevail, the rally is likely to remain strong, despite any pullbacks.
Spot flow data reinforces this picture. Spot flows track whether coins are entering or leaving exchange platforms.
Inflows suggest a possible sale, while outflows indicate accumulation. On December 12, Zcash recorded approximately $14.26 million in spot inflows, meaning coins were moved to exchange platforms.
As of December 13, that figure dropped dramatically to around $17.34 million in net outflows, demonstrating that coins were withdrawn from exchanges.
This change is important. Outflows reduce immediate selling pressure and often reflect the intervention of spot buyers during pullbacks, rather than being distributed during times of strength.
Despite a slight pullback of approximately 2.5% in the last 24 hours, Zcash maintains a rise of approximately 20% in the last week and over 700% in the last three months. The trend has not broken. It is consolidating.
For the bullish structure to continue, the price of Zcash must break out of the triangle. The key level to watch is $511, a 24% move from current levels. A clean daily close above this level would confirm a bullish resolution and indicate renewed buyer control.
If that breakout occurs, the first bullish target is near $549, followed by $733, which limited previous cycle rallies. There are higher resistance zones near $850 and $1,190, although reaching them would require sustained momentum and favorable market conditions.
The downside risk remains clearly defined. If the price of Zcash falls below $430, the triangular structure weakens. Solid support is near $391, and a deeper drop could open the door to $301 if risk aversion spreads throughout the market.
