ZEC drops 12.3% amid increasing mining difficulty and a rise in institutional investments

On November 21, 2025,

(ZEC) dropped by 12.3% over a single day, falling to $581.82. This represents a 17.62% decrease over the last week. Despite this, the cryptocurrency has demonstrated strength, climbing 42.33% in the past month and soaring 923.48% over the previous year.

Institutional Interest Pushes

ZEC

Holdings to $150 Million

Cypherpunk Technologies, a digital asset treasury company supported by Gemini founders Cameron and Tyler Winklevoss, has notably boosted its ZEC reserves. The company acquired an additional $18 million worth of Zcash, increasing its total to 233,644 ZEC, now valued at about $150 million. This purchase followed an earlier $50 million investment, giving the firm ownership of roughly 1.43% of Zcash’s overall supply.

The average acquisition price for each

stands at $291, resulting in unrealized gains exceeding 100% for the firm’s current holdings. has established itself as a long-term holder of privacy-oriented assets, highlighting Zcash’s role in supporting a financial system resistant to censorship.

ZEC Price Movements and Market Trends

ZEC recently bounced back after touching a 24-hour low of $595. Even with the recent drop, the price managed to stay above important moving averages on the four-hour chart and is still supported by an upward trendline from $398. The token also remains above the 50-period EMA at $624, suggesting some short-term bullishness.

Retail interest has steadied, with ZEC futures Open Interest remaining above $1 billion. This points to increasing optimism among traders, though the negative Open Interest still reflects a bearish outlook. Should Open Interest decline, it could indicate renewed downward pressure.

Mining Performance Indicates Network Health

Zcash’s mining difficulty has climbed to 154.26 million, approaching record highs, while network hashrate has shown fluctuations. Despite the recent price swings, daily mining earnings have seen a modest uptick. This implies that miners are staying active, likely anticipating future price stability and better profitability.

Technical Analysis Remains Guarded

Technical signals for ZEC are mixed. The MACD indicator has moved lower, with the blue line crossing beneath the red signal line and dropping below zero, pointing to growing bearish momentum. The RSI is at 47, suggesting momentum is neutral to slightly weak.

ZEC is facing significant resistance at $648 and $700. A fall below the trendline from $398 could trigger a deeper decline toward $571. On the other hand, a move above $648 may reduce selling pressure and pave the way for a possible rally toward $700.

Summary

Zcash is experiencing short-term downward pressure, having dropped 12.3% in the last 24 hours. Nevertheless, ongoing institutional interest, especially from

, reflects sustained confidence in the asset’s long-term outlook. The market is watching closely for stabilization, with key technical levels and Open Interest trends likely to determine the next significant price movement.