Privacy Coin fall麻了: Experts say they are now just high Fluctuation alts

The recent surge in the Privacy Coin zone has been given back, moving downwards along with the overall market. In the past day, ZCash fell by 8.5%, Monero dropped by 5.4%, and Dash shrank by 3.9%, resulting in the entire zone evaporating by 15.4%.

Interestingly, Privacy Coins are no longer considered a “hedging tool”. Market analysts have found that these coins experience macro shocks similar to other crypto assets, in simpler terms, they follow Bitcoin's lead. AMLBot CEO Slava Demchuk pointed out directly: for coins like ZCash and Dash, most on-chain transactions are still transparent; they are more treated as “speculative stories” rather than being used as privacy tools—so they perform much like those highly volatile altcoins.

Jamie Elkaleh, the Chief Marketing Officer of a certain wallet platform, also said something similar: As traditional financial tools like ETFs enter the market and a large amount of capital flows in, Privacy Assets are increasingly resembling the high-risk, high-reward portion of the entire ecosystem.

Demchuk also organized the historical logic - the main drivers before privacy technology came from three aspects: first, breakthroughs in encryption technology itself; second, regulatory pressures like the EU “chat control”; third, there are indeed practical needs in certain regions to avoid transparent ledgers.

As for whether it can turn around? The views of the two experts are一致: it depends on whether Bitcoin can stabilize. Demchuk's judgment is that if Bitcoin holds at a high level and market risk appetite warms up, these Privacy Coins may be able to make up for the recent fall—after all, historical data shows that their volatility has always been greater than that of Bitcoin.