Zcash fell 8% after its spot ETF from Grayscale began trading on the New York Stock Exchange on Tuesday, according to CoinDesk. The ETF launch had been one of the drivers behind the privacy coin’s climb to an eight-year high, helping fuel a rally of about 60% before trading opened. Once the product went live, the move lost momentum. CoinDesk said traders were selling the news, a common market pattern in which an anticipated catalyst is followed by profit-taking after the event actually happens. The report also noted that leverage had built up into the rally, adding pressure as the price pulled back. The decline marked a pause in Zcash’s recent surge rather than a separate new catalyst disclosed in the source summary.
Zcash dropped 8% after its spot exchange-traded fund from Grayscale started trading on the New York Stock Exchange on Tuesday, according to CoinDesk.
The ETF debut was one of the catalysts that had pushed the privacy coin to an eight-year high. That run had lifted Zcash about 60% before the product went live. After trading began, the market turned the other way, with traders selling the news. CoinDesk also said leverage had stacked into the move, adding to the pullback as the rally cooled.
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