Privacy Coins Surge Post-Market Crash, Zcash and Dash Lead Charge
Key Takeaways:
- Zcash (ZEC) and Dash (DASH) are spearheading a notable resurgence in privacy-focused cryptocurrencies following a significant market downturn.
- Both ZEC and DASH have broken multi-year downtrends, indicating a potential shift in market momentum.
- Monero (XMR) has not participated in this rally due to recent delistings from major exchanges.
- A recent endorsement from investor Naval Ravikant has provided additional impetus for Zcash’s price action.
In the wake of a sharp crypto market contraction that saw over $20 billion in liquidations, privacy-centric digital assets Zcash (ZEC) and Dash (DASH) have emerged as strong performers. These cryptocurrencies are demonstrating a privacy revival, showing resilience and breaking free from prolonged downtrends.
💡 It’s crucial for traders to observe how these established privacy coins interact with renewed market interest after extended periods of underperformance.
As of Thursday, Zcash (ZEC) had experienced a remarkable rebound of over 66% from its recent low on October 9th, reaching approximately $246. This recovery has propelled its year-to-date gains to nearly 350%, with a significant portion of that appreciation occurring in October alone.
✅ Monitoring the price action of ZEC above the $200-$220 zone will be key to confirming its bullish momentum.
Dash (DASH) also saw a substantial recovery, posting gains of over 65% since the market crash. Trading near $50 as of Thursday, DASH has achieved close to 150% in returns over the past month, highlighting its strong comeback.
📊 The performance of DASH above the $50 level suggests a potential retest of higher resistance zones.
Even Litecoin (LTC), which implemented the privacy-enhancing Mimblewimble upgrade in 2021, has seen a significant uplift. LTC has jumped by over 80% from its recent lows. However, it still lags other privacy coins year-to-date, with a slight decline of approximately 7.50% for 2025.
📍 While LTC’s recent surge is positive, its year-to-date performance indicates a longer path to full recovery compared to ZEC and DASH.
These upticks have led some market observers to talk about a dinosaur coin season, a phenomenon where older cryptocurrencies, particularly those pre-2017, that have historically underperformed, are experiencing a revival.
⚡ Understanding the underlying drivers behind this resurgence is key to navigating the current market landscape.
Naval Ravikant’s Influence on Zcash
The total market capitalization of privacy coins has seen a notable increase of 36.70% since October 1st, surpassing $7 billion as of Thursday, according to data from Messari’s extensive list of privacy tokens.
The rally in privacy coins gained significant traction following a widely-discussed post by prominent investor Naval Ravikant on October 1st. Ravikant described Zcash as insurance against Bitcoin, a statement that coincided with ZEC’s price surging by over 60% on the same day.
📌 Acknowledging influential figures like Naval Ravikant can provide insights into potential shifts in investor sentiment towards specific digital assets.
The preceding market crash, which liquidated substantial leveraged positions, pushed the altcoin market into heavily oversold territory, creating an opportune environment for aggressive buyers seeking value.
📈 Identifying oversold conditions on broader market indicators like the altcoin RSI can signal potential entry points for opportunistic traders.
This confluence of factors—oversold market conditions, a positive endorsement from Ravikant, and Zcash’s technical rebound—sent a strong signal to traders that the privacy coin sector was poised for a recovery and potential upside.
The subsequent sharp upward movement in privacy tokens can be characterized as a classic relief rally following significant market stress.
💡 The interplay between macroeconomic events, investor sentiment, and technical indicators often dictates the trajectory of such relief rallies.
Monero (XMR), historically a leading privacy coin by market capitalization, has unfortunately not mirrored this recovery. Its price action has been hampered by widespread delistings and restrictions from major exchanges, including Binance, OKX, and several European platforms. These actions are largely attributed to Monero’s privacy-centric design, which poses transparency challenges for regulators.
These exchange removals have significantly curtailed Monero’s liquidity and market visibility, consequently limiting its ability to capitalize on broader market upswings.
Technical Breakouts Signal Potential Trend Reversals
The recent surge in dinosaur coins like Zcash and Dash is notable because they are now breaking out of multi-year downtrends. This technical development suggests a significant shift in market sentiment and momentum, reminiscent of XRP’s breakout from a seven-year consolidation trend in November 2024, which led to over 630% gains.
Both Zcash and Dash have successfully exited long-standing falling wedge patterns, a bullish chart formation that typically precedes sustained upward price movements.
ZEC has confirmed its breakout this month, decisively moving past the critical $200–$220 resistance zone, which is now expected to act as new short-term support. This breach marks the potential end of a seven-year downtrend and opens the possibility for a rally towards $490 in the coming months.
✅ sustained price action for ZEC above the $220 mark would strongly validate this bullish reversal pattern.
Dash (DASH) has already entered its breakout phase, reclaiming the $50 price level for the first time since early 2024. This level represents a significant psychological and technical hurdle that has been in play for a considerable period.
💡 Traders should watch for a clear break and hold above the $50 level to confirm DASH’s bullish momentum beyond the falling wedge.
A sustained close above $50, coupled with a decisive move above the 50-month Exponential Moving Average (EMA) – depicted as the red wave in the chart – would further validate DASH’s wedge breakout. This could set the stage for potential targets around $760 or higher in the longer term.
However, any pullback from the 50-month EMA resistance could potentially delay or invalidate the ongoing breakout setup.
Litecoin (LTC) is currently trading within an ascending triangle pattern, characterized by consistent higher lows since 2022. Despite forming a constructive pattern, LTC has repeatedly struggled to break through the significant resistance range between $100 and $150.
A decisive breakout above this formidable ceiling could trigger a measured move towards the 1.0 Fibonacci retracement level, near $375, signifying a complete recovery of its previous cycle losses.
📊 The breakout above $150 for LTC would be a critical confirmation indicator for its bullish potential.
Collectively, the technical chart patterns and recent price action for Zcash and Dash strongly support the narrative of a privacy revival in the cryptocurrency market, with these two assets currently leading the charge.
This article is for informational purposes only and does not constitute investment advice. All trading and investment decisions involve risk, and readers are encouraged to conduct their own thorough research.
Fundfa Insight
The recent resurgence of Zcash and Dash, driven by market oversold conditions, influential endorsements, and significant technical breakouts, highlights a potential shift in focus towards privacy-preserving cryptocurrencies. While Monero’s exclusion from this rally due to regulatory pressures is noteworthy, the overall trend suggests renewed investor interest in established privacy solutions that have successfully broken multi-year downtrends.