ZEC Rally in Doubt After $93.6M ETF Outflows

Grayscale’s Zcash ETF experienced its first week of net outflows since its debut in August. This week saw $93.6 million pulled out, while ZEC declined to around $1,300.

The outflows represent a stark reversal for the Grayscale ZCSH fund. Two weeks prior, it had drawn in $98.2 million, leading crypto ETFs for weekly inflows. With demand now turning around, can ZEC hold its ground in October?

Zcash Falls as ETF Investors Withdraw

As of the October 3 snapshot, ZEC was trading around $1,308, declining roughly 17.5% from the week's opening. It has also fallen about 23% from its recent high near $1,690.

The drop has been paired with ETF outflows. Since September 22, the fund has seen zero daily net inflows, as tracked by SoSoValue.

The data indicates that ETF investors have been hesitant to purchase during the dip. Persistent outflows could add more downward pressure on ZEC, though they account for only part of the price slide.

Zcash Price Outlook: Is the Bullish Rally Over for ZEC?

Key support lies at $1,270–$1,300, an area where buyers previously intervened. The four-hour chart’s longer-term moving average also aligns there, marking it as a crucial demand test.

A breakdown below that level could send ZEC to around $1,155, about 12% lower than the current snapshot.

Daily indicators point to ongoing risk. Buying momentum has waned, while selling pressure continues to build.

However, there are reasons for cautious optimism. Short-term selling pressure is subsiding, potentially enabling a rebound toward $1,320–$1,360.

A sustained move above $1,380–$1,425 would bolster the argument for a climb to $1,500 later in the month.

Currently, the charts suggest a rocky beginning to October. Maintaining above $1,270 would allow buyers to reestablish support. Renewed ETF inflows would further signal that demand is coming back.