Zcash keeps gaining as US–Iran deal hopes rise; FOMC decision looms

Renewed hopes of a US–Iran deal helped lift risk sentiment across crypto markets, and Zcash added to the previous day's gains. Iran's security chief reportedly met with Supreme Leader Khamenei, boosting expectations that an agreement may be within reach. A sustained ZEC recovery will still most likely need more concrete progress, because a fresh setback or renewed tensions could quickly wipe out recent gains.

Some traders may also be positioning ahead of the NU7 network upgrade, which is slated for early November. The upgrade is expected to cut block times from 75 seconds to 25 seconds and to change the network's fee mechanism, with potential benefits for transaction speed and long-term sustainability. Zcash-specific catalysts can support the token over short horizons, but macro fundamentals are still likely to set the broader direction.

Today's other major focus is the FOMC decision, with the market broadly expecting the Fed to hold rates steady. No new projections or dot plot are due, so the spotlight falls on Fed Chair Warsh's comments and the wording of the statement. A hawkish surprise could heighten growth concerns and weigh on ZEC as risk appetite wanes. A neutral hold that avoids hinting at imminent tightening, however, could enable a relief rally in the cryptocurrency.

ZCASH TECHNICAL ANALYSIS – DAILY TIMEFRAME

The daily chart shows Zcash nearing a major resistance zone around 1,380. If price reaches that area, sellers are likely to step in with risk defined above it, positioning for a decline into the 1,031 support. Buyers, on the other hand, will want a break higher to increase bullish exposure and go after the 1,692 level next.

ZCASH TECHNICAL ANALYSIS – 4 HOUR TIMEFRAME

An ascending trendline on the 4-hour chart currently marks the bullish momentum. Buyers are expected to keep using that trendline as support, with risk set below it, to push into new highs. Sellers, meanwhile, will be watching for a break lower before joining in, targeting a drop to the 1,031 support.

ZCASH TECHNICAL ANALYSIS – 1 HOUR TIMEFRAME

On the 1-hour chart, there is not much more to add. Sellers will likely wait for price to enter the resistance or break beneath the trendline, while buyers will seek a breakout above resistance or a bounce near the trendline. The red lines mark today's average daily range.

UPCOMING CATALYSTS

The FOMC rate decision is on today's agenda. The next day's calendar features the US GDP report, the US PCE reading and the latest Jobless Claims numbers. Friday rounds out the week with the US Employment Cost Index.