Incoming liquidity from the US Federal Reserve and bullish technical breakouts are aligning to support a $1,000 price outlook for Zcash.
Zcash’s (ZEC) price could be gearing up for a push toward its “first stop” target of $1,000, according to Arthur Hayes, the former CEO of crypto derivatives exchange BitMEX.
Key takeaways:
ZEC has risen 40% since Arthur Hayes’ Dec. 19 liquidity call, with privacy narratives gaining momentum.
Zcash charts still target $1,000 in the longer term, but a pullback toward $400 should not be ruled out.
ZEC price pumps 40% after Hayes’ endorsement
Hayes’ bullish outlook for Zcash first appeared during a Dec. 19 interview, where he explained that liquidity can still return to markets even if the Federal Reserve never explicitly announces “quantitative easing” in 2026.
He said policymakers will rely on short-term funding operations and reserve-management purchases to quietly inject cash into the financial system without drawing headlines.
In that setup, privacy and zero-knowledge technologies will re-emerge as a dominant crypto narrative, positioning Zcash as a liquid proxy trade if risk appetite returns, Hayes argued.
Since that interview aired, ZEC has rallied about 40%, climbing to about $550. The move extends an 82% rebound from its local low near $300 established just a month earlier.
The pump appeared similar to Hayes’ ZEC endorsement in October when its price rallied to a multiyear high of $775 from about $75.
ZEC triangle breakout reinforces $1,000 price target
Crypto trader Crypto Curb highlighted Zcash breaking out of its prevailing ascending triangle pattern while reclaiming its 50-week moving average (50-week MA) as support.
In his analysis, the breakout structure left the door open for a direct expansion toward the $1,000 zone, particularly if privacy-focused narratives gain traction in 2026.
Related: What’s behind the surge in privacy tokens as the rest of the market weakens?
In contrast, analyst Eric Van Tassel said a ZEC price pullback toward the $400 zone is possible in the coming days owing to a prevailing rising wedge pattern.
This potential downside move would be a “normal reset,” however, that would clear excess leverage and enable a more profound rally toward the $1,000 target.
“Keep in mind that we did not see an actual retest of $400 as the price was just short of that at $404.60 on this chart,” Van Tassel wrote on Saturday, adding:
“[Market makers] love to go back and tag those important numbers. This further strengthens the case of going back to do that, as the rising wedge measured move aligns perfectly.”
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision. While we strive to provide accurate and timely information, Cointelegraph does not guarantee the accuracy, completeness, or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. Cointelegraph will not be liable for any loss or damage arising from your reliance on this information.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision. While we strive to provide accurate and timely information, Cointelegraph does not guarantee the accuracy, completeness, or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. Cointelegraph will not be liable for any loss or damage arising from your reliance on this information.
