Zcash (ZEC) fall 20%, but the confidence in ZEC has not wavered.

Zcash (ZEC) may have gone through a week of deep bearishness, losing nearly 20% of its value, but that does not mean that market sentiment is completely pessimistic. A new update from the Digital Asset Treasury (DAT) is injecting positive energy into this secure coin, showing that behind the red candles on the price chart, there are still many noteworthy stories. Here are the latest developments surrounding ZEC.

A big gamble of DAT on Zcash

Reliance Global Group has decided to “bet” its entire digital asset treasury portfolio (DAT) on Zcash (ZEC), while also withdrawing from all other cryptocurrency investments. This strategic move comes after a comprehensive review led by the company's Cryptocurrency Advisory Council, concluding that ZEC is the asset with the greatest potential long-term value.

Source: Reliance Global GroupIn a recent statement, Reliance Global Group emphasized the outstanding advantages of Zcash such as advanced security technology, a platform architecture inherited from Bitcoin, along with a design friendly to regulatory compliance.

Previously, Coin Photon also noted the impressive growth of Zcash over the past three months, so this company's confidence is not surprising.

Chairman and CEO of Reliance Global Group, Mr. Ezra Beyman, said:

“In the process of reassessing the rapidly changing digital asset landscape, we find that the security architecture and flexibility for Zcash organizations align more closely with the company's long-term vision than any diverse cryptocurrency portfolio.”

Under pressure

The latest data shows that the “risk-averse” sentiment is quite evident in the market. On major trading pairs such as BTC, ETH, SOL, and BNB, ZEC has fallen by 13–18% in just one week, reflecting the relative weakness of this coin compared to the overall market.

Source: HowiszecdoingHowever, the developments in the last 24 hours have shown signs of stabilization, indicating that the selling pressure is gradually easing rather than continuing to intensify.

Source: CoinalyzeIn the derivatives market, the open contract (OI) only slightly shrank and still hovered around the threshold of 695 million USD, indicating that traders are not in a hurry to close all positions. Meanwhile, the funding rate remains negative, reflecting a bias towards Short orders, but there are no signs of a significant increase in leverage.

Momentum is slowing down

At the time of recording, ZEC is trading around the mark of 496 USD, extending a decline of more than 20% over the past week.

The price breaking through the 20-day EMA indicates that short-term momentum is clearly weakening. However, the 50, 100, and 200-day EMAs are still significantly lower than the current price level, implying that the prevailing trend has not yet been broken.

Source: TradingViewThe RSI indicator reflects that the buying power is gradually weakening, yet the market has not fallen into an oversold condition. At the same time, the CMF indicator has shifted into negative territory, confirming that the cash flow is withdrawing as selling pressure increases.

Throughout the past week, ZEC has mainly been moving in an accumulation state under pressure. However, the possibility of a recovery remains open if buying demand returns in the short term.

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