Privacy cryptocurrency Zcash has moved as much as +13 for the day. Zcash (ZEC) is one of the worst-performing cryptocurrencies of the past two-years.

 

Zcash (ZEC) gets a massive volume spike

Zcash (ZEC)

Zcash (ZEC)

Zcash (ZEC) is experiencing a different kind of day that it usually experiences. It has traded as high as +13% on the day and is currently holding around the +11.19% range. At present, the volume is the highest of the past 40-days, and if it keeps the pressure up, it will surpass the 40-day volume high to be the second-highest volume days since September 25th, 2019 (71 days). This is also the most bullish looking candlestick on the daily chart that Zcash has seen in over a month – the last being the October 25th daily candlestick which saw Zcash trade up +11.74%. It remains to whether momentum and a commitment of bulls will continue to push Zcash higher, but so far, it looks as if some strong participants are maintaining the present value.

Zcash is a leader in really one category – it can nearly single-handedly outperform its peers in its ability to create new all-time lows on a nearly monthly basis consistently. Zcash made a new all-time low as recently as November 24th, and the four days before November 24th, those were all new lower lows as well. What is important, maybe, to notice is that the frequency of Zcash making new lower lows has been decreasing. If we measure the Volume Profile of Zcash from the June 2019 highs to the present date, we can see that the VPOC (Volume-Point-Of-Control) is above at $36.36. The all-time VPOC is at $57.58. The June 2019 – December 2019, VPOC represents 51 trading days. The all-time VPOC represents 111 trading days. The June 19 – December 19 high volume node is nearly as long as the all-time VPOC – which means almost an equal amount of Zcash has been traded around the present value area in half the time it took for the same amount to be traded at the $57.78 value area.

The critical area that Zcash needs to break for any semblance of a bullish trend to being is an extremely difficult shared value zone. The VPOC at $36.36 is within the same value area as the Cloud (Senkou Span A and Senkou Span B). Senkou Span A and Senkou Span B are both near the $37.75 value area. If Zcash can reach that zone and trade above it, then it will have accomplished two bullish entry conditions. The first is Ichimoku based – if price and the Chikou Span can move above the Cloud, then this will generate an ideal Ichimoku bullish breakout trade. The second is if Zcash can move above the VPOC at $36.29. If it can do that, then it will be breaking above a high volume node. And where is the next high volume node? Precisely at the $50 value area. But I don’t have high hopes yet that we will see this happen. Zcash experiences classic pump and dump scenarios and it is very likely that this is just one of many pump and dump events. I look for price to prove me wrong.