Why Zcash and Pump.fun Are Up Today: Breakouts and Buybacks

Zcash and Pump.fun Rally on Technicals and Catalysts

Crypto markets are experiencing an optimistic trend after an impressive opening of October, with top performers of the month, Zcash (ZEC) and Pump.fun (PUMP) attracting sentiment. The assets are soaring on bullish technical trends and project developments that are material, showing regained investor confidence.

Zcash, on the 4-hour chart, has seen a strong breakout as it jumped above $85 with intraday gains exceeding 10%. Moreover, the upper Bollinger band stood at 82.46, where price broke through, signalling high buying pressure. The expanding bands are becoming more volatile, implying that bulls are driving trends.

ZECUSD 4-H CHART | SOURCE: TradingView

The Relative Strength Index, however, at 77.7,9 indicates overbought status, a potential sign of reversal. In case of decreasing momentum, near support is at $74.59, and the lower pullback would reach the mid-Bollinger band of $67.32. Targets are on the upside as Fibonacci extension zones of $90 and $96.29 remain intact in case of continued buyer dominance.

Pump.fun, on the other hand, provided high returns in double-digits following the recovery of $0.0053. Its daily chart showed that it bounced back above the Tenkan-sen and was tested at the Kijun-sen level of $0.0067. Breaking beyond this point could also strengthen bullish belief and proceed to affirm a breakout continuation. More so, an encouraging Kumo is visible in the Ichimoku Cloud, mitigating the downsides should momentum slow. 

PUMPUSD 1-D CHART | SOURCE: TradingView

Moreover, resistance is between $0.0072 and $0.0075, at which sellers had already capped rallies. Any sharp action past this point would take price to $0.0085, while failure to sustain strength risks a return to support at $0.0057.

Ecosystem Catalysts Drive PUMP and Zcash Gains

It is important to point out that the rallies are not strictly technical. PUMP's token buyback program has eliminated a large amount of supply in the market through buying back more than 617,000 SOL of PUMP. This has enhanced confidence in the market and also created upward pressure. 

Meanwhile, Zcash is enjoying the creation of a recent collaboration with THORSwap, where you can swap Bitcoin, Ethereum, Solana, and others. Most importantly, the move enhances liquidity while expanding ZEC’s cross-chain footprint, which is vital at a time when privacy coins are facing restrictions on centralized exchanges. 

SOURCE: X

Also, Aptos registered good gains compared to peers, although its revival was largely due to technical support recovery and not direct stimulations to the ecosystem.

Traders Eye $96 for Zcash, $0.0075 for PUMP

Additionally, buybacks held by Pump.fun reflect an active strategy to maintain token value, in which a lower supply implies that price stability is maintained automatically. Through zk-SNARKs technology, ZEC continues to cater to privacy-conscious individuals, and its ease of use is further enhanced through integrations. Access to liquidity and interoperability are key drivers, benefitting both assets.

To the extent that momentum persists, Zcash can move to highs of $96, though in the short term, overbought conditions could lead to profit-taking. On the other hand, PUMP could test a critical level of $0.0075, which would either cause it to rise to $0.0085 or revert it to the levels of consolidation.