Arthur Hayes, co-founder of BitMEX, revealed that Zcash (ZEC) is now the second-largest liquid asset in his Maelstrom family office portfolio, right after Bitcoin. This shift highlights Hayes’ growing confidence in privacy-focused cryptocurrencies as part of his long-term investment strategy.

Zcash has recently surged back into the spotlight following an aggressive price increase in recent weeks. The token was trading near $750, marking its highest level since 2018. Hayes shared this update on his social media, emphasizing how the ZEC price rally has altered the composition of his previously Bitcoin-dominated portfolio. Unsurprisingly, this announcement sparked renewed interest in the privacy coin narrative.

### ZEC Faces a Sharp Dip but Bullish Momentum Still Intact

Despite ZEC’s remarkable recent surge, its price dropped by approximately 10.60% within the past 24 hours, settling around $543. This sudden decline has caused concern, particularly among investors who entered the market near the peak.

However, analyst Chiper X quickly reassured the community, explaining that the dip is not a sign of weakness but rather a healthy retracement to a previous demand zone. According to the analyst, “The long-term market structure remains bullish. Liquidity has been swept away, and the price is reacting from a key support zone.” He added that as long as this higher time frame support holds, the potential for the next wave of price appreciation remains open.

Additionally, the privacy narrative promoted by Zcash continues to gain traction. It was previously reported that ZEC’s late-October surge was partly driven by increased attention to Zcash’s secure wallet activity. Some have even argued that Zcash could become Bitcoin’s successor due to its confidential transaction features, further fueling enthusiasm around the coin.

### Zcash Doubles Down on Security and Governance Upgrades

Zcash’s fundamentals are equally compelling. The Electric Coin Company (ECC), the team behind Zcash’s development, recently released their roadmap for the final quarter of 2025. Key highlights include major updates to the Zashi wallet and enhancements to transaction security.

One flagship feature is the introduction of multisig Pay-to-Script-Hash (P2SH) support for the Keystone wallet. This upgrade aims to bolster the security of development funds and improve the ecosystem’s governance framework.

These technological advancements demonstrate that Zcash is not only experiencing a price rally but is also strengthening its underlying infrastructure.

### Shifting Market Sentiment Toward Privacy-Focused Assets

Market sentiment towards privacy-focused assets like ZEC is evolving. After a prolonged period during which these tokens were seen as “too complicated” or vulnerable to regulatory scrutiny, the narrative around the right to privacy is resurging.

In this changing landscape, Zcash appears well-positioned to benefit from renewed interest, combining both a strong technical foundation and rising market confidence.

As Arthur Hayes’ portfolio update shows, privacy coins are becoming an increasingly important component of cryptocurrency investment strategies. Zcash’s recent price action and roadmap developments suggest that it could play a significant role in the future of digital assets.
https://bitcoinethereumnews.com/bitcoin/arthur-hayes-puts-zcash-right-behind-bitcoin-in-his-portfolio/