At the beginning of January 2026, #zcash experienced a sharp decline (about -18% in a few hours) triggered by a governance crisis: the mass resignation of the Electric Coin Company (ECC) team. This event led the price towards the support area of $335-$336, seemingly confirming a bearish pattern of 34%

Why is it considered a "trap"?

Despite the strongly negative signal, several factors suggest a bear trap:

15% bounce: After hitting the lows, the price quickly rose towards $360, "trapping" those who had opened short positions (bets on the decline) at the lowest levels.

Accumulation by "whales": While small traders sold out of fear, large investors (whales) increased their positions by 2.44% and the balances of ZEC on #exchange dropped by 17%, indicating that coins are being moved to #wallets private wallets for long-term holding.

In summary, the Zcash "bear trap" represents a phase of manipulation or strong volatility where sellers were drawn in by fundamental panic (ECC crisis), only to see the market react with institutional buying that threatens to push prices upward.