Zcash (ZEC), the privacy-focused cryptocurrency that uses zero-knowledge proofs to enable shielded transactions, has dropped below $500 after losing the $520 support level that traders had been closely monitoring. Analyst Ardi noted that the decline aligns with the downside scenario he had previously outlined.

Attention is now focused on the $470–$480 liquidity zone, where buyers may attempt to slow the pullback. That range previously served as the breakout pivot before ZEC climbed above $540.

Ardi indicated that the higher-timeframe chart could still be forming a higher low following a strong upward move. However, that outlook depends on how the price reacts near the current support zone. The coming week may reveal whether ZEC is rebalancing before another recovery attempt, or whether a weaker response could bring the broader $400 range back into play.

ZEC Loses the $520 Support Level

Ardi stated that ZEC has now cleanly moved below $500, attributing the drop to the earlier loss of the $520 support—a level that had functioned as a key reference point for short-term buyers.

$ZEC has now cleanly flushed below $500.

This was the scenario we outlined, with a move back into the $400s becoming likely once the critical $520 support was lost.

I'd now want to see bulls hold the key liquidity area between $470 and $480 to prevent a larger drawdown.

The… pic.twitter.com/cE38q8x4Fv

— Ardi (@ArdiNSC) July 24, 2026

Once the $520 level failed, a return to the $400 range became increasingly probable. Ardi emphasized that this development was consistent with the scenario he had already discussed, prompting traders to shift their attention to lower liquidity areas.

The break below $500 has redirected focus away from immediate upside targets. Price action now needs to demonstrate renewed demand before recovery expectations can improve. In the meantime, the ongoing pullback remains the primary market focus.

$470–$480 Liquidity Zone Becomes Central

Ardi stressed that bulls need to defend the $470–$480 area, describing it as the most logical zone for buyers to re-enter. This region may ultimately determine whether ZEC can avoid a deeper drawdown.

The $480 level also carries historical significance on the chart. Ardi noted that it served as the prior breakout pivot before ZEC's move above $540, making it a critical support test at current levels.

If buyers successfully defend this range, ZEC could form a higher low, keeping the broader recovery structure intact. If the area fails, sellers may push the price further into the $400 range.

Higher-Timeframe Structure Faces Test

Ardi said the higher-timeframe chart continues to build a potential higher low following an earlier strong upside move. However, this structure remains valid only if support holds near current price levels.

The analyst noted that the coming week should offer greater clarity. Price behavior may reveal whether the pullback is simply a liquidity rebalancing or the beginning of a larger rotation through the $400 range.

Ardi stated that he maintains a macro bullish stance on ZEC, though he wants to see how the price responds around $470–$480. For now, that zone remains the primary level for traders monitoring ZEC's next directional move.