Zcash has been on a solid run lately, but that momentum is now being tested. After tapping the $310 mark, the price pulled back and is currently hovering just below the key $237 resistance.
According to CJ Bennett, this is a crucial zone, if bulls can’t hold it, ZEC price might be due for a deeper pullback before any real recovery can start.
ZEC Daily Chart Shows Cooling Momentum
On the daily timeframe, ZEC looks like it’s taking a breather. The chart confirmed a local top candle right after that $310 rejection, and since then, price has been struggling to get back above $237.
The green dots, which are normally used to track bullish momentum, are absent from the daily chart. That is a signal that short-term energy has faded somewhat.
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But all those same signals remain in force on the weekly chart, so the big picture remains intact. In short, the short-term is a mess, but the long-term trend is still good.
If the price of ZEC goes below $221, the next support is at $200-$210, an area that has previously acted as a good base.
ZEC 4-Hour Chart: Range-Bound and Waiting for a Signal
The 4-hour chart is one of indecision. Ever since that rejection at $310, ZEC price has actually been stuck between $216 and $237, looking for direction.
Bennett calls this “chop,” and it’s easy to see why, no clear trend, just short bursts of movement with quick pullbacks.
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So far, we’ve had one small reversal signal, but nothing confirmed. For bulls to gain back control, ZEC needs to break through $237-$240 and hold above it. That should then set off a reversal towards $272 or even $304 in the short term.
If bulls fail to hold the present area, however, the next target is likely to be around $200, which is the same breakout level of a couple of weeks ago in early October.
Read Also: Here’s Why Zcash (ZEC) Price Might Be Heading for a Painful Correction
Bigger Patterns Still in Play
Despite the short-term chop, Bennett highlights something interesting, a few bullish patterns could still be forming here.
Depending on how the price reacts, ZEC might be shaping up for a cup and handle, a double bottom, or even an inverse head and shoulders.
All three setups usually signal a larger reversal. So even if there’s one more dip, as long as bulls defend $200-$210, ZEC price could still be gearing up for another strong move higher.
If that support breaks, though, things get trickier, price could slide toward $176 or $150 before stabilizing again.
Zcash still looks healthy overall, but the next few days are critical. Hold this zone, and a new leg toward $272–$310 becomes possible. Lose it, and ZEC might have to reset before trying again.
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