On December 2, 2025, ZEC saw its value decrease by 4.89% within a single day, settling at $332.18. Over the previous week, the cryptocurrency plummeted by 33.18%, and over the past month, it dropped 23.48%. Despite these recent losses, ZEC has surged 481.94% compared to its value a year ago. These dramatic price swings underscore the unpredictable nature of the Zcash market, which is heavily influenced by speculative trading and shifting investor sentiment.
According to Coinbob’s Popular Address Monitor, the largest short position in ZEC on the Hyperliquid platform has recently moved into profitability, signaling a notable change in market sentiment. The trader began shorting ZEC on October 10 at approximately $184, later increasing the average entry price to $419. At its worst, the position was down nearly $21 million in early October, but the recent decline in ZEC’s price has allowed the trader to recover and profit.
By December 2, the trader’s net exposure had dropped from $23.21 million to $9.88 million, with realized profits exceeding $5 million. There remains an unrealized gain of about $2.43 million, representing a 125% return on the remaining position. This short remains one of the largest on the platform, with the trader also holding significant short positions in ETH, MON, and HYPE.
Although ZEC is a prominent asset in the trader’s portfolio, the most substantial profits have come from shorting ETH. The trader holds a $22.16 million short position in ETH, entered at an average price of $4,014. This trade currently shows an unrealized profit of $9.52 million, equating to a 643% gain. This highlights the trader’s overall bearish approach and mirrors the downward trend seen across major cryptocurrencies.
In addition to ZEC and ETH, the trader has leveraged a 3x short position in MON, which has produced an unrealized profit of $1.82 million, or 89%, on a $6.14 million position. These moves further demonstrate the trader’s conviction in a continued short-term decline for both ZEC and MON.
Recent market turbulence has resulted in over $650 million in liquidations within 24 hours. ZEC was among the most affected, tumbling 20% in a single day and 35% over the week. The broader cryptocurrency market also suffered, with BTC falling 6% to $85,800, ETH dropping 6% to $2,820, and SOL decreasing 7% to $127.
While these declines have benefited short sellers, they have also sparked concerns about the sustainability of the downward trend. Analysts warn that if bearish momentum continues and there are no positive signals from macroeconomic or regulatory developments, further shorting could intensify.
Regulatory factors have also played a significant role in shaping market sentiment. The People’s Bank of China has reiterated its ban on cryptocurrencies, reinforcing the country’s crackdown on digital assets. This ongoing regulatory uncertainty has contributed to a risk-averse atmosphere, putting additional pressure on assets like ZEC.
The recent 33.18% weekly drop in ZEC reflects both aggressive short selling and a broader negative outlook in the crypto sector. The largest ZEC short position has turned profitable, and further gains from shorting ETH and MON have strengthened the trader’s stance. As the market looks for signs of stabilization, large short positions are likely to remain a key factor influencing price movements in the near future.