3 Reasons Why Zcash (ZEC) Can Plunge Following Its 150% Monthly Explosion

ZEC flashed a bearish signal that has previously been a precursor to a 64% price drop. ZEC has undoubtedly become crypto’s rock star lately, with its price skyrocketing to a ten-year high above $1,200. However, certain worrying signals suggest that a short-term pullback may abruptly replace the rally. Are the Bears Coming? Earlier this month, ZEC surpassed $1,200 for the first time since 2016 and reached almost $1,300. Currently, it trades around $1,220 (per CoinGecko), representing a 150% monthly increase and a staggering 2,450% explosion on a yearly scale. The main drivers behind the spectacular surge include the launch of Grayscale’s ZEC ETF, along with other factors, which you can explore in our detailed article here. Nonetheless, three key developments suggest the asset’s relentless climb may be coming to an end. The first one is the TD Sequential indicator, which, according to analyst Ali Martinez, has flashed a sell signal on the 3-day chart. “The last time this setup appeared, on May 19, it resulted in a 64% price correction. Worth paying attention to this one,” he said. The second is ZEC’s Relative Strength Index (RSI), which has surged past 70. This indicates that the tok...