Zcash Price Faces Significant Decline Amid Governance Turmoil

Turmoil in Zcash Governance

The price of Zcash (ZEC) plummeted by over 20% on Thursday, reaching approximately $381, marking its lowest point in the last three weeks, following the unexpected resignation of the core development team at Electric Coin Company (ECC). This situation has raised concerns among analysts, who predict a potential drop in the price of ZEC to around $200 in the coming weeks.

Former CEO Josh Swihart confirmed that the team will form a new company to continue privacy-focused development, but his reassurances have failed to improve the market sentiment.

Analyst Osemka emphasized that the price of ZEC could decrease further by 40-50% in the upcoming weeks, considering that the price has entered a correction after testing the upper line of the current descending channel. Moreover, a breakdown below a certain support level has increased the likelihood of ZEC reaching the $200-250 range.

Additionally, Zcash has begun to break away from a bearish flag pattern, reinforcing the downward trend. The price has entered a slight consolidation, supported by a descending resistance, which suggests a potential move towards the $275-300 zone.