NewsBTC
Jan 16, 2026
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Zcash Rises as SEC Ends Probe, Boosting Investor Confidence

Zcash (ZEC) Gains After SEC Ends Investigation

  • The U.S. Securities and Exchange Commission (SEC) concluded its investigation into the Zcash Foundation without enforcement actions.
  • The probe focused on potential securities law issues related to Zcash's funding model, governance, and token distribution.
  • Markets reacted positively, with ZEC experiencing double-digit gains, stabilizing above $400.
  • The closure of the investigation removes a significant regulatory uncertainty that had impacted investor confidence since 2023.

Zcash ZEC ZECUSD Chart

Market Performance and Technical Analysis

  • Post-announcement, ZEC surged by 5% to 14%, testing resistance levels between $440–$450.
  • Currently trades around $427–$442, maintaining support above $400.
  • Resistance is noted at $450–$470, with further support around $350 if sentiment declines.
  • A symmetrical triangle pattern suggests potential for future rallies.

Governance Challenges Ahead

  • Despite regulatory clarity, governance issues persist following the resignation of the Electric Coin Company development team.
  • The team's departure was due to disputes with the nonprofit board over working conditions.
  • The Zcash Foundation assures network stability despite these challenges.

These developments highlight both opportunities and challenges for Zcash moving forward.