Zcash ETF Attracts $41M as Bitcoin Funds Suffer Heavy Outflows

Bitcoin exchange-traded funds saw over half a billion dollars in outflows across two days last week. At the same time, $41.1 million flowed into Zcash from institutional investors. Could this signal expectations of a fresh ZEC rally?

The Grayscale Zcash ETF posted its best weekly inflows since mid-September, prompting speculation that traders may be rotating into the privacy coin before a wider market rebound.

Bitcoin-focused funds nevertheless ended the week with net inflows of $301.2 million, supported by purchases earlier in the period. Ethereum ETFs, by contrast, saw $220.7 million in outflows.

Why Is Money Returning to Zcash?

The turnaround for Zcash comes after three tough weeks, during which the ETF shed $143 million. Last week it recouped roughly 29% of those outflows.

Following a further $10.4 million outflow on Monday, the fund posted four straight days of net additions. Friday's intake alone reached $20.5 million.

The reappearance of buyers indicates that some market participants are prepared to wager on a rebound following Zcash's recent price decline.

Zcash's emphasis on confidential transactions provides a distinct investment narrative, though the ETF flow figures do not reveal the reasons behind the renewed buying.

Can Zcash Price Sustain the Recovery?

The $1,200 level is the first hurdle for ZEC. The token bounced after dipping to $1,118 last week, yet analysts are split on the outlook.

A daily close above $1,223 would be a bullish trigger, according to some analysts. That might produce a crossover of ZEC's short-term moving averages around October 28, pointing to increased upward strength.

Analyst Whale Factor takes a more bearish view. He sees ZEC moving within a falling price channel and highlights $597 as a key historical support.

$ZEC next thing im watching is the 1D green cross, current eta is in ~5 days and if price can close above the 1223 level

if ZEC god candles above 1414 it will force the cross but atm its a bulls wet dream. imo the battle for the 1200ish levels will be fought over the next week https://t.co/cytWw82vOp pic.twitter.com/FdWIcayMPm

— that1618guy (@that1618guy) October 23, 2026

September serves as a cautionary tale. A week that saw $98.2 million in inflows was succeeded by three weeks of outflows, with ZEC falling from its high of around $1,690.

Upcoming ETF flow data and the Federal Reserve's meeting on October 27–28 may clarify whether Zcash's rebound can be sustained.