The Zcash ZEC Short Squeeze Theory 🚀 [Updated 2024; Oprah2024 Reddit Crypto Market Investing; Privacy Altcoin; Technical Analysis]

belPRxIzaU1KrgRcBhmpYnrR4d_93-oh391er1ti

The Zcash ZEC Short Squeeze

https://preview.redd.it/jaf0vgwl9z8b1.png?width=1153&format=png&auto=webp&s=428aa679d18542a6e6ad62edbadf7c91ec7995f4

[The original opportunity in 2021-2022 was lost, so now this updated post will be an estimate for hope in the year 2024 as Zcash has its halving approach in November]

Zcash ZEC has massive short squeeze potential:

Similar to DogeCoin and Ethereum Classic from 2021.

Its an OG coin, with active development and a hard capped 21m Proof of Work supply

Currently the circulating supply is around 14m coins, a quite small supply vs the global potential set of buyers.

Underperformance relative to Bitcoin, Ethereum, Monero, Litecoin, and other peer altcoins from 2014-2016 has been the name of the game for Zcash.

Dogecoin and Ethereum Classic like it before were also punchlines across the crypto social ecosystem before their massive short squeeze rallies.

As DOGE and ETC mooned (short squeezed) onlookers were terrified, angry, paralyzed, and unbelieving of the insane price pumps

The same situation can happen at Zcash if the same buying pressure is triggered

The magical alignment of the stars moment is possible when considering the factors:

​

  1. The “Privacy” Narrative is continuing to go viral in crypto and with MSM
  2. Barry Silbert’s $1,500 per ZEC call (related: The Grayscale Zcash OTC Trust $ZCSH)
  3. The supply is capped at 21 million, only 14 million are circulating
  4. OG coin, created by a Cypher Punk OG – Zooko Wilcox (an early collaborator with Hal Finney)
  5. Zcash is in the Top 20 in overall exchange availability
  6. The ECC and Zcash Foundation are great engineering teams with diligent, hard working developers, and long term funding
  7. ZEC is a constant punchline – as Barry said “You hate Zcash? I’m buying more”
  8. Trading against fiat, Zcash at $30 is deeply depressed and it makes 20X upside a reasonable target
  9. Zcash volatility is very low and if it increases coin price is pumping
  10. Zcash has its Halving in just more than 15 months (November 2024)
  11. The ECC development team is working on upgrading to Proof of Stake
  12. ASIC have started to capitulation, the ones remaining are going HODLing their ZEC
  13. Upcoming ZSAs and programmability upgrades are fundamental drivers
  14. Zcash was mentioned as an altcoin with value, by Mexican Billionaire Ricardo Salinas
  15. Zcash has been popular with institutional investors at Gemini and Kraken
  16. The Shielded Pool supply now exceeds 1 million coins (these are regarded illiquid long term Zodlers)
  17. Zcash has a growing global community
  18. New media organizations are doing great work to promote education and information about using and building on Zcash
  19. Zcash Sustainability Fund is under development to enhance the builder ecosystem
  20. Old and technologically vulnerable shielded pools may be retired in the future
  21. Zcash Foundation has released its 1.0.0 zebra node implementationhttps://www.youtube.com/watch?v=142IudaOXUU&t=1s
  22. Trustless Private Parameter ceremonies are a thing of the past!
  23. Zcash Community Grants is evolving and scaling out its product investments
  24. Only 6,235 StockTwits watchers (hint: you are early)https://stocktwits.com/symbol/ZEC.X
  25. Decentralized Zcash website platform: Free2Z https://free2z.com/

​

The Electric Coin Company delivered a major Network Upgrade in June 2022, there are also a series of ongoing Zcash Media mini-documentary videos released and upcoming in late 2023 which will be deployed to market the network and its impressive core of creators, developers, and advocates

For people confused about “short squeeze”

there are multiple retail Zcash Shorting markets:https://www.tradingview.com/symbols/ZECUSDSHORTS/?exchange=BITFINEXhttps://www.tradingview.com/symbols/ZECBEARUSD/?exchange=FTX

The other factor is that all major exchanges employ Market Making entities (inhouse, contracted, or both) which structurally go both Long and Short Zcash on a daily basis

When a large inflow of buys off balances the books, the MMs can occasionally get caught without enough ZEC (or other asset) to re-normalize. This rebuy of ZEC is called Covering.

The beginning of the ETC short squeeze famously saw Coinbase with a 15-20% spot premium on ETC a week before the blow off top. This was characteristic of the MMs having no ability to “catch up” with the demand for ETC

“Supply shock” is another piece of the squeezing phenomena.

Major exchanges also provide their professional clients (and sometimes retail, I know this as a Kraken user for sure) the ability to “sell” against Zcash ZEC using some other collateral (in Kraken, this is USD or BTC only). This is a net short position also – these positions are at risk of liquidation, I’ve personally done it, shorting Monero XMR in the past

The other crypto squeeze factor to note is that these markets never turn off, which during a squeeze, prevents the MMs from “catching up” – this is different from the luxury they have in old school markets, where there are limits that halt trading, and there are closed hours every day and over the weekend.

The Halving in November of 2024 will cause a Supply Shock to Zcash.

https://coinmarketcap.com/alexandria/article/satoshi-files-zooko-wilcox-o’hearn

https://datamish.com/zecusd

https://ycharts.com/companies/ZCSH

https://www.youtube.com/shorts/yrWQ2Sb-Ak8

https://www.youtube.com/watch?v=hm85qwrUjpI&pp=ygUFemNhc2g%3D

https://www.tradingview.com/chart/ZECUSD/FM6SMuEI-ZEC-USD-Wyckoff-Accumulation-Phases/

​

Keep in mind that patience and discipline are needed to succeed in markets. If Zcash completes a great price squeeze it will not be easy for you to hold your coins all the way up. It will also be difficult to continue buying and holding coins now, while prices are low.

As the Zcash investors of reddit, we must do ourselves the favor of keeping positive, sharing ideas and support, and avoiding the pitfalls of negativity and arguments or trolls.

https://www.youtube.com/watch?v=1bHCr6K8BMY

If this prediction becomes true keep to your plan and identify profit targets in advance, perhaps these would be 10-20X meaning a ZEC price of $300-600 per Zcash.

submitted by /u/oprah_2024 to r/zec
[link] [comments]

SOURCE