Privacy coins were one of the most prominent beneficiaries in 2025. However, the situation is much colder in 2026. Several major privacy coins have undergone significant corrections, and new projects are also showing unstable rebounds. As February begins, cryptocurrency whales are no longer betting recklessly.

Now, whales are selectively buying and selling three privacy coins based on changes in market momentum, early reversal signals, and chart structure. These factors can determine both future bullish and bearish trends.

Zcash (ZEC)

Over the past year, Zcash has been one of the strongest privacy coins. However, as 2026 approaches, momentum has sharply weakened. In the last month, the price of Zcash (ZEC) has fallen by nearly 26%, reflecting an overall risk-averse sentiment. However, as February approaches, signs of change are appearing despite this bearishness.

In the last 24 hours, cryptocurrency whales have entered aggressively. General Zcash whales have increased their holdings by 45.19%, now holding about 14,500 ZEC.

At the same time, the top 100 addresses have increased their holdings by 14.6%, raising the total to 43,722 ZEC.

Overall, whales have purchased an additional 6,500 ZEC, which corresponds to approximately $2.5 million at current prices. The decrease in exchange balances during this period also indicates that this movement is accumulation rather than dispersion.

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The chart explains why whales are acting now. Since the end of December, ZEC has been trading within a bearish flag (a pattern that continues a downward trend), suggesting a maximum potential additional decline of 42%.

However, this risk is currently being challenged. Zcash has started to break the upper trend line of the flag, weakening the downward structure.

Momentum indicators also support these changes. From October 30 to January 25, ZEC formed higher lows compared to the highs, while the RSI recorded lower lows.

The RSI measures momentum strength, and this discrepancy is a signal of hidden bullish divergence. It indicates that selling pressure is weakening beneath the surface. Following this signal, ZEC has already risen by about 24%.

The important price level going forward is $449. A clear breakout would invalidate most of the bearish structure of the flag and could open up additional upward potential to $561. This range is where the bearish structure would completely collapse.

Conversely, if it breaks down below $325, the downside risks will be highlighted again, invalidating the whale bullish scenario.

Dusk (DUSK)

The reason Dusk Network (DUSK) stands out among privacy coins is due to the conflicting movements of whales. DUSK has surged nearly 200% over the past 30 days, likely triggered by FOMO after investors missed the DASH and XMR rally. However, in the last 7 days, it has dropped more than 38%, leading to a widening divergence of opinions among holders as February approaches.

On-chain data shows that mid-sized whales are reducing their holdings, while large investors are increasing their purchases.

General cryptocurrency whale wallets have decreased their holdings by 7.22% during the decline. In contrast, the top 100 addresses have increased their holdings by 13.88%, holding a total of 464.44 million DUSK.

This means that large whales have purchased an additional 56.6 million DUSK. This is approximately $8.2 million at current prices.

This divergence is well illustrated on the chart.

DUSK is forming a reverse head and shoulders pattern. However, since the neckline is in a downward trend, a clear breakout is not an easy structure.

The main resistance range is between $0.176 and $0.190. If there is a daily close above $0.190, the pattern will be confirmed, and a 68% increase may be possible. The target price is between $0.321 and $0.330.

The momentum signal is still early, but it is gradually improving. Between January 24 and 28, the price attempted to form higher lows, while the RSI recorded lower lows. This is a signal of hidden bullish divergence.

However, for this pattern to hold, the price must remain above $0.140. If it breaks below this level, the divergence will vanish, and exposure to a drop down to $0.098 may expand.

In summary, privacy coin whales have differing opinions on DUSK. Small holders are reducing risk exposure following a sharp decline. Large-scale whales are buying amid bearishness in preparation for a potential neckline breakout.

Until reclaiming the $0.190 price range, this area is more of a high-risk zone than a definitive trend.

Coti (COTI)

Among privacy coins, COTI has quietly entered a correction. Over the past month, the token price has dropped about 22%, and in the last 7 days, it has decreased by 14%, continuously facing pressure within a downward channel. However, there are indications that the selling pressure from whales is slowing down.

On-chain data shows a clear change. From January 13, COTI whales have drastically reduced their holdings from 733.46 million COTI to 718.17 million COTI.

This dispersion was intertwined with the risk of channel collapse, which led to a bearish price trend until mid-January. However, recent trends have started to show changes.

From January 22, cryptocurrency whales have resumed buying, increasing their holdings from 718.17 million COTI to 718.91 million COTI. This reflects an increase of approximately 930,000 COTI.

The scale of this purchase is still minimal compared to past sell-offs. This indicates initial positioning rather than firm confidence.

The COTI price chart explains why whales are cautious yet showing interest. COTI is still within a downward channel, but momentum is shifting.

From November 4 to January 25, while the price recorded lower lows, the RSI showed higher lows. Such bullish divergence often indicates that selling pressure is weakening, even if the price has not yet turned around. Divergences like this are often found in periods where trend reversals occur.

For this signal to be meaningful, a breakout of the price range is necessary. A daily close above $0.019 is the first key point. If this price level is surpassed, there is room for an increase to $0.024, which could neutralize the bearish structure with a rebound of about 40%.

Until then, downside risks remain. If it falls below $0.015, the divergence range may extend, exposing lower areas.