Zcash (ZEC) has experienced a significant price decline, dropping over 25% this month due to a broader market downturn and concerns over the Electric Coin Company's split from Bootstrap. Despite this, on-chain data indicates a rise in network participation and confidence. The amount of ZEC held in shielded pools has increased, with over 5 million ZEC now in shielded addresses, representing about 30% of the circulating supply. Additionally, Zcash's mining difficulty reached an all-time high in early February, suggesting increased competition and a stronger security profile for the network. This rise in difficulty, despite market challenges, indicates that mining remains economically viable for some operators, potentially due to competitive electricity costs or strategic positioning. These developments highlight sustained user engagement and confidence in Zcash's privacy infrastructure.