Arthur Hayes, former chief executive of BitMEX, predicted that Zcash could reach a four-digit price level, citing narrative demand for privacy, institutional interest and supply dynamics, according to public statements made in December.
Summary
- Former BitMEX CEO Arthur Hayes predicts Zcash could reach $1,000.
- Zcash is up about 40% since Hayes forecast, nearly 14% over the past month, and more than 700% year-over-year, with about 30% of the supply now in gated addresses, indicating a growing reliance on private transactions.
- Regulatory pressure on confidential coins, limited liquidity and volatility due to leverage remain the main downside risks.
The cryptocurrency has reportedly gained around 40% since Hayes issued his forecast, according to market data. Zcash returned to the market after Hayes’ projection that the privacy-focused digital asset could hit the $1,000 threshold as its first major price target.
Zcash is up nearly 14% over the past month and has posted annual gains of over 748%, outperforming most large-cap cryptocurrencies.
Hayes described the four-digit price level as an initial goal rather than a final destination, according to his December public message. The former head of the exchange noted that price declines towards the hundreds of dollars remain possible despite the bullish outlook.
Several structural factors support these positive forecasts, according to market observers. According to on-chain data, approximately 30% of Zcash’s circulating supply now resides in gated addresses, reflecting increased demand for private transactions.
Institutional activity increased in late 2025, with Grayscale launching a dedicated Zcash investment fund, according to company announcements. Other companies have disclosed substantial purchases and accumulation plans, including their intention to hold significant percentages of the total supply, according to regulatory filings.
Hayes identified the Zcash halving event in late 2025 as a supply inflection point that could reduce token issuance and contract available liquidity, according to his statements. Technical analysts are monitoring key resistance levels in the mid-hundreds, with a confirmed breakout potentially paving the way into the hundreds and a four-digit level by mid-2026, market commentary indicates.
The tears of the bears will be my sustenance. $ZEC first stop $1,000 pic.twitter.com/FPCZbNxMTj
– Arthur Hayes (@CryptoHayes) December 29, 2025
The market structure remains sensitive to leverage and liquidation events, presenting ongoing risks, analysts note. Regulatory pressure on privacy tokens represents a major concern, according to market participants, with potential coordinated actions likely to bring prices down into the hundreds of dollars.
Access to liquidity remains restricted on regulated trading platforms, Hayes said. According to his analysis, decentralized exchanges could manage future demand, although smaller order books could amplify volatility.
The recent rally was driven by a combination of narrative strength, supply dynamics, institutional accumulation and liquidation-induced price discovery, market observers reported.