Zcash, on a 70% rally surge... "The next boom market is privacy coins"

▲ Zcash (ZEC), Ethereum (ETH), XRP (XRP)/AI generated image

Zcash (ZEC) has surged over 70% in a week, making the trend of funds moving towards privacy-centric cryptocurrencies increasingly clear. As concerns grow over artificial intelligence (AI), quantum computing, and expanding financial surveillance, investors are reportedly re-focusing on transaction anonymity and asset protection narratives.

According to Cointelegraph on May 8 (local time), Zcash was traded at around $346 on May 1 and then rose to $593.86 by Wednesday, marking a 7-day high. Pav Hundal, Senior Market Analyst at cryptocurrency exchange Swyftx, stated regarding the reason for Zcash's rise: “Investors are starting to show more interest in privacy projects amid widespread concerns about the impact of AI, quantum computing, and financial surveillance on cryptocurrencies.”

Institutional fund movements also influenced investor sentiment. Tushar Jain, co-founder of investment firm Multicoin Capital, announced on Wednesday via X (formerly Twitter) that he has been building a "significant position" in Zcash since February. Jain argued that institutions will increasingly seek privacy assets to protect personal assets, evaluating Zcash as an attractive investment.

Industry movements surrounding privacy features are also continuing. Ethereum's scaling solution Polygon launched a private stablecoin payment feature on Sunday, and Aptos Labs' privacy feature, Confidential APT, was implemented on its mainnet last April. Cointelegraph reported that Zcash is one of the representative privacy cryptocurrencies, with Monero (XMR) being its main competitor.

Market intelligence platform Santiment analyzed in an X post on Wednesday that Zcash is rebounding strongly with a surge in social media mentions and FOMO (Fear Of Missing Out) sentiment, alongside its price increase. Santiment pointed out that a lack of trust in governments could be a factor attracting individual investors' attention. Concerns about surveillance, tightening exchange regulations, and AI-powered data tracking spreading across financial platforms are reportedly leading investors to view privacy-centric assets as a hedge.

However, it is yet to be confirmed whether this surge will lead to a long-term re-evaluation. The privacy theme was one of the major investment trends in the cryptocurrency market in 2025, and Zcash reached its highest level since 2018 last November, nearing $700. Monero also hit an all-time high of $797.73 last January, but neither asset maintained its gains. Hundal commented on the recent Zcash movement: "It is characterized by a narrative rotation towards privacy coins," but added, "It is still cautious to call it a clear fundamental re-evaluation. More time is needed to confirm how long investor interest will last."

*Disclaimer: This article is for investment reference only, and we are not responsible for investment losses based on it. The content should be interpreted for informational purposes only.*