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Recently, ZEC's market performance has indeed attracted a lot of attention. The price quietly broke through a key resistance level, directly surging above $528, with trading volume also increasing. Technical indicators show RSI soaring to 84. Many market participants are calling for a target price of $600, and investors with floating profits can't help but feel tempted.
But here, a calm analysis is necessary. From a technical perspective, there are already clear signs of overheating: RSI reaching 84 indicates severe overbought conditions, and the price has broken through the upper Bollinger Band, all classic technical red flags. Such rapid surges often represent a market sentiment explosion rather than a fundamental value return.
More importantly, the market structure warrants attention. On the surface, large holders continue to buy, but the whale's short positions have never truly been reduced. This fierce battle between bulls and bears precisely indicates a lack of genuine consensus in the market—one side promotes a bull market narrative, while secretly positioning for a decline, waiting for latecomer funds to buy the dip.
This is a common pattern in the crypto market. The purpose of price manipulation is never to profit the average investors but to create a false appearance of an uptrend, attracting more retail traders to follow suit. Once the goal is achieved, the market reverses to harvest profits. The recent rapid rise of ZEC follows this logic as well.
Therefore, if you've already profited from this wave, instead of chasing higher to gamble on the next $100 increase, it’s better to take profits gradually. The timing of taking profits often tests an investor’s rationality more than waiting for a double. Remember: only the profits actually withdrawn into your wallet are truly yours; the numbers flashing on the screen can vanish at any moment.
In this current market environment, should you continue to chase the high or decisively take profits? Weigh the risks and rewards carefully.