Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnSquareMore
Monero Gains, Zcash Struggles In Privacy Coin Shake-up

Monero Gains, Zcash Struggles In Privacy Coin Shake-up

CointribuneCointribune2025/11/28 21:57
By:Cointribune
Summarize this article with:
ChatGPT Perplexity Grok

Monero (XMR) gained more than 23 % this week, while Zcash (ZEC) dropped by nearly 25 %. Such a gap highlights the high volatility of the privacy coins market, in a context of low activity related to Thanksgiving. This divergence between two key privacy assets raises questions about the internal dynamics of the sector.

Monero Gains, Zcash Struggles In Privacy Coin Shake-up image 0 Monero Gains, Zcash Struggles In Privacy Coin Shake-up image 1

In Brief

  • Monero (XMR) recorded a spectacular 23 % increase over the week, against the trend of the rest of the crypto market.
  • This performance is mainly driven by speculation on derivative markets, notably perpetual contracts.
  • Technical indicators show a mismatch between futures activity and spot market, suggesting a fragile rise.
  • Zcash (ZEC), on the other hand, collapsed by nearly 25 %, raising questions about the project’s solidity.

Monero Rises Sharply

While the entire privacy coins sector fell by nearly 40 % this week, Monero stands out as an exception. The crypto XMR rose by more than 23 %, a surge that intrigues in an otherwise bleak context.

This increase appears largely fueled by futures markets. The cumulative bid-ask volume delta on futures remains positive, while that of the spot remains stable. In other words, this bullish dynamic is supported by heavy speculation via derivatives, notably perpetual contracts, rather than organic demand on the spot market.

Several technical factors help explain this timely performance of Monero, out of sync with the rest of the privacy coins :

  • Persistent selling pressure on the spot market, with little support from typical buyers ;
  • A positive imbalance on perpetual markets, signaling a push fueled by leverage ;
  • Rising cumulative volume on futures, according to on-chain data, contrasting with relatively stable spot volume;
  • A daily increase of 4.1 %, while Dash lost 7.3 % and Zcash 4.4 % ;
  • No identifiable fundamental impetus (partnership, technological announcement), confirming the speculative nature of the rise.

Indeed, Monero attracted attention this week not because of an innovation or renewed interest in its technology, but because it was the vehicle for an opportunistic strategy on derivatives. This dynamic, as rapid as it is unstable, could reverse sharply if leveraged positions are liquidated without support on the real market.

Zcash in Freefall

Opposite to Monero, Zcash suffers a significant 25 % drop over the week. Some observers mistakenly interpret this decline as a loss of interest in the project.

However, according to Quinten van Welzen, head of strategy and communication at Zano, this drop does not reflect a fundamental disinterest : “short-term moves like Monero rising and Zcash falling mainly reflect positioning, leverage, and timing rather than a reversal of privacy demand,” he said.

Such a correction thus fits into a capital rotation dynamic within the privacy coins microcosm, where arbitrages are often amplified by low liquidity and heavy speculation.

However, Zcash has a major asset: the interest of institutional investors. Crypto asset manager Grayscale has filed a request with the SEC to convert its Grayscale Zcash Trust into an ETF. If approved, it would be the first ETF backed by a privacy coin, potentially paving the way for wider adoption of ZEC on regulated markets.

This prospect, although not yet finalized, represents a significant strategic difference compared to Monero, often shunned by institutional players because of its total opacity.

In this light, the evolution of Zcash’s situation could well be determined by medium-term regulatory developments rather than solely by the speculative dynamics seen this week. If the ETF is approved, it could catalyze a new wave of institutional interest in privacy coins. Conversely, an SEC rejection could reinforce regulated markets’ aversion to this type of asset, favoring more open or technically hybrid projects.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Astar (ASTR) Price Rally: Exploring Key Drivers and Investment Opportunities in the Changing DeFi Ecosystem

- Astar (ASTR) surged 150% in Q3 2025 due to strategic partnerships, tokenomic reforms, and institutional interest. - Collaborations with Sony's Soneium and Aave boosted ASTR's cross-chain utility and liquidity incentives in Japan's Web3 market. - Tokenomics 3.0 (10.5B supply cap) and 5% token burn reinforced deflationary mechanisms, attracting $3.16M institutional investment. - Analysts project ASTR could reach $0.120 by 2033, driven by 300K TPS scalability and modular infrastructure adoption. - Risks inc

Bitget-RWA2025/11/29 11:02
Astar (ASTR) Price Rally: Exploring Key Drivers and Investment Opportunities in the Changing DeFi Ecosystem

Bitcoin Updates: The 2026 Transformation of Crypto—Shifting from Unpredictability to Organized Expansion

- Cryptocurrency markets anticipate 2026 growth driven by global regulatory clarity, institutional infrastructure, and macroeconomic stability. - Turkmenistan legalizes crypto trading with state oversight, joining UK's tax deferrals and stablecoin regulations in balancing innovation and risk. - Bitcoin Munari's structured $0.22 presale offers predictable investment tiers, contrasting volatile markets amid $3T crypto recovery. - Galaxy Digital's 3.5 GW Texas data center combines Bitcoin mining with AI compu

Bitget-RWA2025/11/29 11:02
Bitcoin Updates: The 2026 Transformation of Crypto—Shifting from Unpredictability to Organized Expansion

The Emergence of ZK Innovations and Vitalik's Perspective on the Next Phase of Web3

- The ZK market is projected to grow from $1.28B to $7.59B by 2033, driven by Vitalik Buterin's vision for Ethereum's ZK-centric scalability and privacy. - Ethereum's 2025–2027 roadmap prioritizes ZK efficiency via GKR protocol and streamlined rollups, enabling 43,000 TPS and 15x faster verification. - Projects like zkSync (27M monthly transactions) and StarkNet (BTCFi integration) demonstrate ZK's scalability, while Polygon zkEVM focuses on EVM compatibility and cost reduction. - Regulatory challenges (Mi

Bitget-RWA2025/11/29 10:38
The Emergence of ZK Innovations and Vitalik's Perspective on the Next Phase of Web3