Zcash (ZEC) gave back nearly all of its roughly 48% September rally, while Santiment data showed social interest and futures positions began declining before the price peaked.
According to Santiment’s analysis, ZEC rose roughly 48% between September 15 and 26, but closed October 14 at $1,145. That close was only about 3% above the level on September 15, when the rally began.
The roughly 30% drop after the price reached $1,650 erased most of September’s gains. Before the pullback, there was a period when market interest and price were moving in different directions.
Interest and futures positions peaked before the price
Open interest, which measures the size of outstanding futures contracts in ZEC, peaked at 1.60 million ZEC on September 17. The number of times ZEC was mentioned on social media also reached 671 on September 18. The daily closing price, meanwhile, peaked on September 26.
As a result, both social interest and open interest fell short of their respective peaks while the price continued to rise. The analysis’s key finding was that these two indicators did not keep pace with ZEC’s latest rally.
Social interest at a six-week low ahead of the October 20 decision
As of October 14, open interest had fallen to 2.5% below its September 15 level. That same day, the number of times ZEC was mentioned on social media fell to 50, its lowest level since September 2.
According to the timeline cited by Santiment, a decision on deploying Zcash’s NU7 upgrade to mainnet will be made on October 20. Ahead of the decision, ZEC has lost most of its September price gains, and social interest has fallen to its lowest level in about six weeks.
Not investment advice.