Zama [ZAMA] is on a strong bullish run as the altcoin climbed to a new all-time high of $0.092 before retracing. At the time of writing, ZAMA was trading around $0.086, up 27% on the daily charts extending its 67% weekly surge surge.
At the same time, the market cap crossed the $200 million mark while volume jumped 149% to $274 million, reflecting high market activity.
In fact, with participation rising, daily turnover has remained elevated for two consecutive days. Notably, a turnover of $159.9 million was recorded, a jump from $150 million the previous day, suggesting that the trend was driven by strong buying pressure.
ZAMA sees renewed capital inflow
Recently, the crypto market has seen significant capital and attention move into privacy coins. Amid this sector-wide buzz, investors are rediscovering even low-cap privacy tokens.
One such token has turned out to be ZAMA. These investors have brought along massive capital into the asset with demand for ZAMA skyrocketing across the spot and futures.
For starters, on the 19th of September, the altcoin’s Buy Volume rose to a record high of 412.6 million, while volume, although elevated, remained at 390 million. For that reason, the Delta jumped to 21 million.
The same trend extended to the 20th of September, with Buy Volume rising to 70 million at press time and a positive Delta of 6 million.
With the spot market showing a positive delta, strong buying activity was evident as orders were executed. Such sustained buying pressure often helps maintain a bullish structure
Shrinking supply is bullish for ZAMA
Besides capital rotation into privacy coins, the tokens’ supply dynamics have become increasingly attractive to investors. As such, investors have pointed to its reduced supply as another incentive for returning buyers.
Notably, over 83% of the circulating supply is staked. In fact, 2.2 billion ZAMA of 2.5 billion circulating supply are staked. Such high-stakes supply reduces potential pressure, and even a little demand is adequate to push the altcoin higher.
What’s next for ZAMA crypto?
For now ZAMA sits on a strong uptrend driven by strong demand. At the time of writing, the Aroon Up line was at 92%, confirming the upward momentum is strong.
The DMI indicator further validates this view, with +DI sitting around 49, indicating that if demand holds and staked supply continues to rise, ZAMA will make more gains.
To make more gains, it means ZAMA will hold $0.08 and target to reclaim $0.09. However, if $0.08 fails to hold, the altcoin will fall to $0.05.
Final Summary
- Zama surged 27%, hitting a new all-time high of $0.092, then retraced to $0.080 at press time.
- ZAMA rallied, driven by increased capital rotation into reduced market supply.
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