Zcash captured renewed market focus following a period of extreme volatility, with spot demand surging as sentiment pivoted sharply. The asset price recovered from a low near $250 to approach $470, driven by aggressive buying activity that countered earlier panic selling triggered by concerns over the Orchard pool bug. Current momentum hinges on sustained capital inflows, miner commitment levels, and the positioning of derivatives across global markets. Market participants are closely monitoring whether Zcash can consolidate these gains and challenge the psychological $500 resistance level. The regulatory landscape shifted decisively when the SEC investigation concluded on May 20 with zero enforcement actions. Just 8 days later, the revelation of the Orchard bug precipitated a 60% crash to $250, but the asset has since rebounded to $439. This recovery appears structural given that over 30% of circulating ZEC resides in shielded pools, a migration process estimated to take 12 months. Data compiled by Woofun AI shows spot demand flipped from heavy selling to strong net buying within a short window. Netflow metrics recorded $17.23M in selling pressure three days prior, which was swiftly reversed by buyers injecting $118.13M in net inflows. The session also logged an additional $99k in continued buying activity, suggesting sustained inflows above selling pressure could extend the recovery toward higher valuation zones. The broader digital asset market recovered after a massive capital exit earlier in the June trading phase, with approximately $84.02B returning across the sector. Price action reflects renewed confidence among buyers seeking exposure to privacy-focused assets as Zcash maintains an upward trajectory while traders monitor resistance near $500. The asset climbed 10.6% over the past 24 hours, coinciding with a solution rate reaching 17.8 GSol per second during the latest measurement period. This increase in network power often signals stronger miner commitment across validation operations. Community sentiment climbed to 65% bullish with more than 175k votes supporting the positive outlook trend. Woofun AI notes that traders interpret rising sentiment as a supportive factor for near-term price stability despite underlying market friction. The derivatives market, however, displays caution as the funding rate turned negative recently, recording minus 0.07% at the latest reading. Short positioning dominates perpetual futures contracts across Zcash trading venues, creating a divergence between spot accumulation and derivative sentiment. Negative funding pressure may limit upward momentum despite strong spot accumulation, as short sellers maintain an advantage while perpetual contracts favor bearish positioning. Spot accumulation remains a key driver supporting upward price attempts near resistance, yet failure to maintain inflows may trigger a renewed correction from recent highs. Market structure remains sensitive to shifts in sentiment and liquidity conditions, with volatility expected as traders balance optimism against persistent derivative pressure. Woofun AI analysis suggests Zcash's outlook remains tied to spot demand strength and funding rate direction, requiring confirmation above resistance before expecting a sustained bullish continuation zone.