A Hacker Swapped $3.7 Million of Ethereum Into Zcash on Hyperliquid. Is Privacy Demand Holding ZEC Above $1,200?

A wallet that used a mixer has swapped Ethereum (CRYPTO:ETH) for Zcash (CRYPTO:ZEC) on Hyperliquid, an exchange that lists both coins. On November 8, 2026, onchain data showed that 1,670 ETH, worth about $3.73 million, came out of Tornado Cash, a tool that pools deposits so the coins coming out are hard to trace to their source. Over 20 hours, the wallet converted that ETH into 2,959 ZEC on Hyperliquid.

Zcash is trading at $1,251, down 1% over 24 hours but up 1.3% over the week. Over the same week, Bitcoin (CRYPTO:BTC) fell 3.3%, and Ethereum dipped 2%. The easy read is that privacy-seeking money is flowing into ZEC and holding its price up.

But does this $3.7 million privacy trade show strong demand for ZEC, or is it a one-time event during a stronger week for the coin?

Why Did a Tornado Cash Wallet Choose Zcash?

Zcash is a privacy-focused cryptocurrency that lets users send coins through shielded transactions. These use zero-knowledge proofs, which confirm a payment is valid without revealing the sender, the receiver, or the amount. By contrast, every Ethereum transaction is recorded on a public ledger, so once coins leave a mixer, blockchain analysts can still follow every move they make.

Swapping ETH for ZEC and then moving the coins into Zcash’s shielded pool could break that trail for good. Hyperliquid makes the first step simpler, since it runs a spot market for direct trading between the two assets, removing the need for a centralized exchange and its identity checks.

Many crypto investors view a large, privacy-focused trade like this as an endorsement of ZEC’s utility, which can, in turn, support its price. The same idea drove September 2026’s rally, when Zcash surged alongside Monero. It also matches Paradigm’s pitch when it called Zcash a private complement to Bitcoin.

A Single Wallet Trade in a Massive Market

However, the swap is small next to ZEC’s trading volume. ZEC traded $594.27 million in the last 24 hours, so the wallet’s trade was a tiny fraction of the day’s activity, and spreading it over 20 hours further diluted its impact. A single buyer of this size is unlikely to move the price of ZEC, the 10th-largest cryptocurrency by market cap, very far.

Moreover, the buyer’s intent complicates the signal. The wallet seems focused on hiding the source of its funds rather than investing in ZEC. If these coins are shielded and later sold elsewhere, the same 2,959 ZEC could return to the market as supply.

On-chain analytics also miss a lot, since most ZEC trading happens on centralized exchanges, away from public chains. A quiet chain could therefore mean a lull in trading or heavy buying elsewhere. This swap stood out only because Hyperliquid’s order book runs on-chain, making it an outlier in a mostly hidden market.

ZEC Holds Up as Bitcoin and Ethereum Slide, but ETF Money Keeps Flipping

Despite Bitcoin and Ethereum’s declines, ZEC’s relative strength points to more than one wallet’s influence. Over the past month, ZEC has gained 3.8%, while Bitcoin has lost 8.3% and Ethereum 10.4%. Over a year, ZEC has risen 109.4%, though it still trades 60.8% below its all-time high of $3,191.93 from October 2016.

ETF activity can show whether fresh money supports this resilience. When a spot ETF takes in new money, the issuer typically buys the cryptocurrency to back the new shares, creating direct demand. The Grayscale Zcash ETF (NYSEARCA:ZCSH) saw an $11 million outflow on November 5, followed by a $1.8 million inflow on November 6. That back-and-forth mirrors October, when Zcash ETFs saw outflows even as the coin kept climbing.

ZEC trades above its 20-day moving average of $1,244. However, it remains below its 50-day average of $1,310, so buyers have not yet regained control of the medium-term trend.

In a November 6 post, trader Ansem put support between $1,030 and $1,100 and resistance at $1,370 to $1,440. Support is where buyers have stepped in before, while resistance is where sellers have taken control. We broke those levels down after Zcash dropped 6% in a single day.

Is Privacy Demand Keeping ZEC Above $1,200?

It seems unlikely that a single mixer wallet is keeping ZEC above $1,200. The trade is too small next to daily volume, and it looks like a one-off. ZEC’s resilience against Bitcoin and Ethereum more likely comes from long-term holders reluctant to sell in a weak market, plus ongoing interest in privacy technology, such as the proposal for shielded Bitcoin built on Zcash’s technology.

If privacy demand keeps growing, it could build a more durable floor for ZEC. A key sign would be a run of Grayscale Zcash ETF inflow days that together top the $11 million outflow from November 5. Conversely, a close below $1,100, the top of Ansem’s support zone, would suggest the privacy trade isn’t providing a floor, while a break above $1,370 might mean buyers have taken control.

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