Zcash (ZEC), a privacy-focused cryptocurrency whose network supports shielded transactions, extended its recovery on October 21, trading near $1,270 after rebounding sharply from its October 18 low, as developers advanced preparations for Network Upgrade 7 (NU7). The token climbed more than 10% during the session, leading the top cryptocurrency gainers ahead of the anticipated upgrade.

Developers selected block 3,543,405 as the proposed mainnet activation height, expected around November 5, and outlined the schedule in a Zcash community forum discussion. The decision still requires final integration into network specifications and compatible node software. If activated as planned, the upgrade would cut target block times from 75 seconds to 25 seconds while introducing changes to transaction fees and legacy privacy functionality.

NU7 Timeline, Fees, and Sprout Retirement

November 5 remains the target for NU7, although developers have yet to confirm the final mainnet activation height. Testing began on October 4 at block 4,465,026, giving development teams time to identify problems before launch.

Faster block production will give transactions their first confirmations more quickly, but it will not increase daily ZEC issuance, as block rewards and halving intervals will be adjusted to compensate.

The upgrade also restructures miner payments. Under the new arrangement, 60% of transaction will be transferred into a reserve, while miners receive the remaining 40%. Payments from the reserve are scheduled to begin in February 2031.

The fee proposal followed a coinholder vote involving approximately 2.4 million ZEC, representing about 66% of eligible holdings. Of those participating, 98.9% backed keeping the existing halving schedule, and 96.6% supported the reserve distribution date, giving the upgrade's economic parameters explicit holder backing before any code reaches mainnet.

NU7 will also retire the legacy Sprout pool, the original shielded pool created at Zcash's 2016 launch, where roughly 22,309 ZEC reportedly remain. Funds left in the pool after activation could become permanently inaccessible, making the deadline important for affected holders and the remaining Sprout balance a figure to watch as activation nears.

ZEC Recovers From $1,050 as Buyers Return

ZEC's rebound has carried the price above $1,200 after a prolonged decline marked by lower highs and lower lows, lifting the token from an October 18 low of $1,050. The four-hour chart shows a shift in short-term structure, with buyers establishing higher lows during the recovery.

The cryptocurrency has crossed the Bollinger Bands midpoint at $1,144.12 and moved beyond the upper band at $1,224.41. The Relative Strength Index reached 63.60, compared with its signal average of 49.65, placing momentum above the midpoint of the RSI scale but still below the commonly watched overbought threshold of 70.

Key Levels: $1,300 and $1,325 in Focus

On the upside, ZEC is approaching a former selling zone, with immediate resistance at $1,255 to $1,275. The recent four-hour candle reached $1,255.12, bringing the first barrier into play. A sustained close above $1,275 on the four-hour chart would shift attention toward $1,300, and if buyers maintain control beyond that level, the next resistance stands at $1,325, where selling previously emerged.

Downside levels are also clearly defined, beginning with $1,224, which marks the upper Bollinger Band. A decline through that area could bring $1,200 into view, followed by $1,144 if selling pressure increases. Should the recovery weaken further, $1,063 remains another price level to monitor based on the earlier trading range.

This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry substantial risks due to price volatility. Readers should conduct their own research before making investment decisions.

This article was originally published by The Market Periodical under the title "ZEC Price Prediction Ahead of November 5 Zcash NU7 Network Upgrade."