Why is Zcash (ZEC) price falling despite Grayscale’s ETF filing?

Grayscale has indicated that Bitcoin's recent sell-off in 2025 appears to be a local bottom rather than a peak in its four-year cycle, suggesting a potential breakout to new highs in 2026, contingent on Federal Reserve policies and U.S. cryptocurrency legislation.

Zcash's price has experienced a significant decline of 24%, breaking through multiple support levels and its EMA200, prompting analysts to caution about potential further losses. Despite this downturn, the long-term outlook for Zcash remains intact, particularly regarding its privacy features.

Zcash (ZEC) has experienced a significant market pullback, leading to a 24% drop as the cryptocurrency market faced widespread losses. This decline follows a remarkable rally where ZEC surged over 1,775% to reach an all-time high of $750 in early November, but has since struggled to maintain key support levels, closing below crucial thresholds amid recent volatility.

Grayscale’s Chainlink Trust has successfully converted into the first U.S. Chainlink ETF, receiving approval to trade on NYSE Arca. This marks a significant milestone in the cryptocurrency sector, reflecting a shift in regulatory attitudes as the SEC streamlines the approval process for crypto-related funds.

The launch of Grayscale's spot Dogecoin ETF on November 24, 2025, was met with disappointing trading volumes, reaching approximately $1.4 million on its first day, significantly lower than analysts' expectations. This muted response reflects a lack of enthusiasm in the market despite the anticipation surrounding the first-ever Dogecoin ETF.

Aurora Labs CEO Alex Shevchenko discussed the recent surge in Zcash (ZEC), which has seen gains of over 1,500% this year, attributing this rise to a growing interest in privacy-focused cryptocurrencies. The surge is part of a broader trend where privacy tokens are gaining traction amid increasing regulatory scrutiny in the cryptocurrency market.