The recent price fluctuations of ZEN are mainly driven by the entry of institutions such as Grayscale. After it submitted the 8-K form for the ZEN trust to the SEC in February 2025, market confidence significantly increased, and the price broke through $40 in early June, with a short-term increase of nearly 190%356.
On a technical level, Horizen adjusted the token distribution rules through the ZenIP 42407 proposal, increasing the proportion of block rewards directed to the DAO treasury to 27.5%, and optimized the PoS mechanism to enhance network security and alleviate sell pressure. The improvement in exchange liquidity was also a key factor; after Binance launched the ZEN/USDC spot trading pair, market depth increased, combined with the integration of platforms like Bitget, leading to a surge in short-term trading activity.
Regarding the movements of large holders, Grayscale's holdings reached 880,000 coins with a market value of approximately $8.78 million. Their accumulation behavior directly stimulated the market supply-demand balance, and there has been no large-scale sell-off recently. On-chain data shows that the top 100 addresses hold 41.7% of the coins, and the distribution of chips is better than the industry average, but caution is needed regarding potential sell pressure during the token unlocking peak period. The derivatives market shows a bullish dominance, with the ZEN perpetual contract funding rate remaining in positive territory, and the implied volatility of options has risen to historical highs, reflecting an intensification of the long-short game.
In the long term, ZEN's zk-SNARKs privacy technology and EVM compatibility upgrade are expected to land in Q1 2025, which may expand DeFi application scenarios, but attention should be paid to the regulatory trends of the US SEC regarding privacy coins and exchange liquidity risks.
The market continues to change, and we are closely monitoring the market to seize new entry opportunities. Like + comment, let's traverse the bull market together and firmly grasp this major opportunity.
