The cryptocurrency market is experiencing a notable downturn this November, with major players like Bitcoin and Ethereum facing significant dips. However, within this challenging environment, a distinct category of assets is demonstrating resilience: privacy coins. As traders look for alternatives with enhanced on-chain privacy, interest is rekindled in established privacy coins such as Monero, Zcash, and Dash.
The recent introduction of Ethereum”s new privacy feature, known as Kohaku, has sparked renewed attention towards coins that offer robust foundational privacy solutions. As the market grapples with volatility, these three privacy coins are emerging as essential assets to watch.
Monero (XMR): The Leading Privacy Solution
Monero remains a dominant force in the realm of privacy coins. Its technology ensures complete anonymity by concealing the sender, receiver, and transaction amount in every transfer. Unlike Kohaku”s opt-in privacy model, Monero provides full privacy without any transparent option, positioning it as a quintessential example of privacy in cryptocurrency.
In the past three months, Monero has appreciated by approximately 50.1%, showcasing its strength amidst a broader market decline. The coin has been navigating within a rising wedge pattern since August 1, repeatedly attempting to breach the upper trend line without success. Currently, it is approaching this critical resistance level once more, and the prevailing narrative surrounding privacy adds significance to this effort.
A successful close above $425 would signal genuine strength, potentially allowing Monero to escape its bearish pattern. Furthermore, a movement past $477 could trigger a more substantial rally. Maintaining a price above $367 is crucial for buyers to retain control, while slipping below this level could weaken the upward trend and push prices towards $304.
Zcash (ZEC): A Strong Contender in Privacy
Zcash closely aligns with the principles of Ethereum”s Kohaku, utilizing zk-SNARKs technology that permits users to select between transparent and shielded transactions. This flexibility mirrors the new privacy approach offered by Ethereum at the wallet layer.
Zcash has witnessed impressive performance, soaring nearly 1500% over the last three months. Following a rally to $748, Zcash”s price has recently stabilized, remaining above all key moving averages, indicating that the uptrend remains intact. For Zcash to continue its bullish trajectory, it must achieve a candle close above the $748 resistance, which has thwarted multiple attempts since November 7. Sustaining above the $585–$623 range is vital to preserve a healthy short-term structure, whereas a close beneath $498 would indicate a bearish shift.
Dash (DASH): A Viable Option for Traders
While Dash does not provide the same level of privacy as Monero or Zcash, its mixer-style system, known as PrivateSend, offers a different approach to anonymity. Despite its comparatively weaker privacy features, many traders regard Dash as a viable privacy option, and its performance during the market downturn has been commendable. Over the past three months, Dash has surged by more than 244%, outpacing many large altcoins.
Currently, Dash”s price action presents a cleaner chart. Between October 30 and November 19, Dash established a higher low, while the RSI showed a lower low, indicating that the pullback may be losing momentum and buyers could soon reenter the market. A close above $87 would support the ongoing rally, while surpassing $103 would further solidify the breakout. If the positive trend continues, potential extension zones could emerge around $148–$171, although a drop below $61.38 would jeopardize the structure and weaken the overall setup.
As the cryptocurrency market continues to evolve, monitoring the movements of these privacy coins will be crucial for traders seeking to navigate the current landscape effectively.
