Privacy coins were major winners in 2025, but 2026 is very different. Several former leaders have been significantly corrected, while newer names are showing unstable recoveries. Now that February has started, crypto whales are no longer gambling.
They are now selectively buying and selling these three privacy coins, driven by shifts in momentum, early reversal signals, and chart patterns that may determine the next upward (or downward) move.
Zcash (ZEC)
Zcash was one of the strongest privacy coins in the past year. However, momentum towards 2026 has significantly decreased. Just last month, the ZEC price has fallen nearly 26%, aligning with the broader risk-off sentiment. But this weakness is beginning to change as February approaches.
In the last 24 hours, crypto whales have made significant moves. Regular Zcash whales have increased their holdings by 45.19% to around 14,500 ZEC.
At the same time, the top 100 addresses increased their positions by 14.6%, raising the total holdings to 43,722 ZEC.
In total, whales added about 6,500 ZEC, which is worth approximately $2.5 million at the current price. The exchange balances also decreased during this period, indicating accumulation rather than distribution.
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The chart shows why whales are acting now. Since late December, ZEC has been moving within a bear flag, a bearish continuation pattern with a potential downside target of 42%.
However, this risk is now being challenged. Zcash is now breaking above the upper trendline of the flag, weakening the downward structure.
Momentum indicators support this turn. Between October 30 and January 25, the ZEC price formed a higher low while the Relative Strength Index (RSI) showed a lower low.
The RSI measures the strength of the momentum, and this mismatch indicates hidden bullish divergence; the selling pressure is decreasing underwater. Since this signal, ZEC has already risen about 24%.
The important level in sight is $449. A convincing breakout above that would invalidate most of the bear flag and open up room towards $561, where the downward structure collapses completely.
If the price loses $325, the breakdown risk returns, and the bullish whale expectation is negated.
Dusk (DUSK)
Among privacy coins, Dusk Network stands out, particularly due to contrary whale behavior. DUSK is still nearly 200% higher over the past thirty days, likely due to FOMO among investors after missing the rallies of DASH and XMR. However, in the past seven days, the coin has corrected more than 38%, creating a sharp division among holders as February approaches.
On-chain data shows that smaller whales are reducing their positions, while larger investors are buying during this seven-day decline.
Standard crypto-whale wallets have reduced their holdings by 7.22% during the decline. At the same time, the 100 largest addresses have increased their supply by 13.88% to a total of 464.44 million DUSK.
This means that mega-whales have added about 56.6 million DUSK during the correction, worth approximately $8.2 million at the current price.
This division is clearly visible in the graph.
DUSK may form an inverse head-and-shoulder pattern, but the neckline slopes downward, making it harder to break out clearly.
The crucial resistance zone lies between $0.176 and $0.190. A daily close above $0.190 confirms the pattern and makes an upward target of about 68% possible, aimed at $0.321–$0.330.
Momentum signals are still early but improving. Between January 24 and January 28, the price attempts to form a higher low, while the RSI shows a lower low, indicating hidden bullish divergence.
This picture only remains intact if the price stays above $0.140. A drop below that would invalidate the divergence and show a potential decline towards $0.098.
In short, whales are not entirely in agreement about DUSK among privacy coins. Smaller holders risk getting hurt after a sharp decline. Mega whales seem to be buying the dip and taking positions for a possible neckline break.
Until $0.190 is reclaimed, this remains a high-risk situation with no confirmed trend.
COTI
Among privacy coins, COTI has quietly entered a corrective phase. The token has decreased by about 22% in the past month and 14% over the last seven days. This shows ongoing pressure within a descending channel. But beneath this weakness, the behavior of whales suggests that the selling phase may be decreasing.
On-chain data shows a clear shift. Since January 13, COTI whales have significantly reduced their holdings, from 733,460,000 COTI to a low of 718,170,000.
That distribution aligned with the risk of a breakdown in the channel and explains why the price remained weak until mid-January. However, that trend is now changing.
Since January 22, crypto whales have started buying again, increasing their holdings from 718,170,000 to 719,100,000 COTI. That's an increase of about 930,000 COTI.
These purchases are still modest compared to earlier sales, and that is important. It indicates early positioning, not full conviction.
The COTI price shows why whales are cautious yet interested. COTI is still moving within a descending channel, but the momentum seems to be shifting.
Between November 4 and January 25, the price achieved a lower low while the Relative Strength Index showed a higher low. This bullish divergence often indicates that selling pressure is decreasing, even though the price has not yet reversed. Such divergence is often associated with a potential trend reversal.
To make that signal really count, levels need to be broken. A daily close above $0.019 is the first test. If that succeeds, the price could move towards $0.024. That would indicate a possible increase of 40% and neutralize the bearish pattern.
Until then, the downward risk remains. A loss of $0.015 would extend this divergence and expose deeper levels.