ZEC rebounded—can NU7 keep this momentum going?
For this round of the $ZEC rebound, I expect it to spike and then pull back again over the next one or two days. NU7 aims to make transfers faster, but the newly mined coins per day haven’t decreased as a result, and the price hasn’t escaped the downtrend from the past few days.
According to Binance’s UTC daily chart, from October 1 to 2, ZEC fell cumulatively by about 9.5%, while it recovered by roughly 3.9% over the weekend. The Sunday high of 1368 USDT is still below the Friday high of 1412 USDT. The weekend low did indeed rise, and that’s one reason the rebound could continue. But since the previous highs are still not being broken through, I’m more inclined to treat this as a rebound after a drop.
The NU7 proposal released by the foundation on October 2 shortens the target block interval from 75 seconds to 25 seconds, and at the same time adjusts the per-block reward to keep the daily issuance unchanged. Faster confirmation means payments and transfers will be more convenient. However, for it to affect the price, there would need to be someone willing to hold more ZEC because of it—and just looking at block speed doesn’t prove that.
Transaction fees also need to be examined carefully. The proposal directs 60% of fees into a reserve first, and then gradually uses it for block rewards later rather than having it disappear forever. How large the reserve becomes depends on actual trading activity and fee levels; you can’t just see the 60% and expect a large amount of immediate “burn.”
Continued upgrade-related headlines drawing in capital is the biggest variable in this assessment. If it breaks higher than yesterday’s high near 1368 on increased volume, and then a pullback is met with buyers again, I’d be more confident about further upside. Right now, it hasn’t reached that stage—so a move up that then falls back is still the path I’m more worried about.
According to ZIP 259 I read earlier today, the mainnet activation height will be left to be determined again on October 20. Testnet progress is definitely a good sign, but the mainnet hasn’t yet reached the point where you can directly treat it as already upgraded.
#ZEC #Zcash #NU7
For this round of the $ZEC rebound, I expect it to spike and then pull back again over the next one or two days. NU7 aims to make transfers faster, but the newly mined coins per day haven’t decreased as a result, and the price hasn’t escaped the downtrend from the past few days.
According to Binance’s UTC daily chart, from October 1 to 2, ZEC fell cumulatively by about 9.5%, while it recovered by roughly 3.9% over the weekend. The Sunday high of 1368 USDT is still below the Friday high of 1412 USDT. The weekend low did indeed rise, and that’s one reason the rebound could continue. But since the previous highs are still not being broken through, I’m more inclined to treat this as a rebound after a drop.
The NU7 proposal released by the foundation on October 2 shortens the target block interval from 75 seconds to 25 seconds, and at the same time adjusts the per-block reward to keep the daily issuance unchanged. Faster confirmation means payments and transfers will be more convenient. However, for it to affect the price, there would need to be someone willing to hold more ZEC because of it—and just looking at block speed doesn’t prove that.
Transaction fees also need to be examined carefully. The proposal directs 60% of fees into a reserve first, and then gradually uses it for block rewards later rather than having it disappear forever. How large the reserve becomes depends on actual trading activity and fee levels; you can’t just see the 60% and expect a large amount of immediate “burn.”
Continued upgrade-related headlines drawing in capital is the biggest variable in this assessment. If it breaks higher than yesterday’s high near 1368 on increased volume, and then a pullback is met with buyers again, I’d be more confident about further upside. Right now, it hasn’t reached that stage—so a move up that then falls back is still the path I’m more worried about.
According to ZIP 259 I read earlier today, the mainnet activation height will be left to be determined again on October 20. Testnet progress is definitely a good sign, but the mainnet hasn’t yet reached the point where you can directly treat it as already upgraded.
#ZEC #Zcash #NU7
