$ZEC Bullish unstoppable!

“BTC OG insider whale” agent Garrett Jin just opened a massive 3x leveraged short position on ZEC. But his long position on BTC, heavily leveraged at 5x, is being trapped badly, with unrealized losses exceeding $920k. A player losing money on BTC has turned around to short ZEC, probably out of guilt and wanting to diversify pressure. Top-tier institutional clear positioning is perfectly hedging against him, so I directly increased my position to a $410k long and went all-in!

1. SEC case closed + Grayscale ETF application, compliance channels are now in place. The U.S. SEC’s long-term investigation into Zcash officially ended in January this year, with no enforcement actions taken, clearing a regulatory cloud that had lasted over two years. Grayscale has also submitted the world’s first spot ETF application for a privacy coin, planning to list on NYSE Arca under the ZCSH ticker, directly upgrading the existing Zcash trust into a compliant channel. Wall Street analysts generally expect that once the ZCSH ETF approval is granted, it could attract net inflows of $500 million to $2 billion. Once this level of compliant capital channel fully opens, ZEC’s pricing power will undergo a fundamental structural shift.

2. Top funds and crypto OGs collectively backing. According to The Wall Street Journal on May 16, early Bitcoin supporters including the Gemini founders Winklevoss brothers are quietly increasing their positions in Zcash, with a clear core idea: as Bitcoin becomes more mainstream and its ledger fully transparent, it has deviated from the original “cyberpunk” promise of financial privacy, whereas Zcash’s shielded transactions are closer to Bitcoin’s early ideal state. Grayscale founder Barry Silbert even called Zcash “Bitcoin in 2013.” On the other side, top crypto fund Multicoin Capital has been systematically building a position in ZEC since February. These top funds, most knowledgeable about the crypto market, are not short-term traders but are re-evaluating the sector for the medium to long term.

3. Over 30% of circulating supply is locked in privacy addresses, halving effects tighten the chips further. Latest on-chain data shows that about 30% of Zcash’s total supply is stored in shielded addresses, hitting a new high. This portion of tokens locked by the privacy protocol has extremely low liquidity, greatly reducing the ability to dump, so once market sentiment shifts, sell pressure cannot keep up with buying. The halving effect is also kicking in—block rewards have dropped from 3.125 to 1.5625 coins, cutting new issuance pressure by over half. Under this “dual supply shortage” structure, incremental capital only needs to enter in small amounts to rapidly push up the price.

Garrett Jin’s short on ZEC just hit a solid bottom supported by regulatory good news, top-tier fund holdings, and locked supply. The $410k full position is locked in, waiting for ZEC’s short squeeze reversal, so that the short seller trapped in BTC can once again taste the cost of contrarian trading!