Crypto Market Rally: Altcoins Surge as Zcash Hits 16-Month High, BTC Futures Show Bullish Bias

The cryptocurrency market witnessed significant gains on Wednesday, with major cryptocurrencies bitcoin (BTC) and ether (ETH) climbing 2.9% and 3.1% respectively. However, the standout performance came from altcoins, which posted double-digit gains amid speculation about "altcoin season" returning. Zcash (ZEC) reached its highest price level since May 2022, while several DeFi tokens including Ethena (ENA), Curve (CRV) and Raydium (RAY) all gained over 8%. The market upswing coincides with the U.S. government shutdown, which has pushed gold prices to record highs and weakened the U.S. dollar. BTC futures markets demonstrate strong bullish momentum with open interest holding at $31.69 billion and the 3-month annualized basis remaining firm between 6-7%. The options market presents a mixed picture with 63.54% call volume indicating bullish speculation despite some hedging activity. Positive funding rates across major exchanges, particularly Deribit's 17% annualized rate, show sustained demand for leveraged long positions. Trading data reveals $644 million in 24-hour liquidations with a 38-62 long-short ratio. While most cryptocurrencies gained, ASTER token declined 6.8% as interest in the HyperLiquid competitor wanes. Market analysts note that relative strength index (RSI) levels are approaching overbought territory, suggesting potential consolidation ahead.