Donald Trump's plan to center Bitcoin mining in the US is unraveling as miners convert facilities into AI data centers amid a prolonged crypto market slump

Zcash mining has become materially more profitable, potentially drawing more resources away from other cryptocurrencies and changing the competitive landscape for miners.

The price of Zcash (ZEC) is showing potential for a surge towards $1,500, driven by a significant increase in mining profitability. Despite lower overall daily rewards compared to Bitcoin, Zcash mining rigs are reportedly twice as profitable and four times more efficient per megawatt hour. This enhanced profitability has led to a more than 2.5-fold increase in Zcash mining activity this year. Investor demand for ZEC has also grown, contributing to its recent rise to $1,300. However, the cryptocurrency is experiencing a volatile phase, with a potential for a correction to $900 or lower if selling pressure increases.

The surge in Zcash mining profitability, outpacing Bitcoin's rewards on a per-rig and per-MWh basis, indicates a significant shift in mining economics. This suggests that miners are prioritizing efficiency and return on investment, potentially diverting hardware and expertise towards ZEC. The increased mining activity also points to a growing interest in the Zcash network, which could impact its security and decentralization.

This trend suggests a broader market dynamic where altcoins with favorable mining economics can attract significant hash power, even if their overall market cap is smaller than established players. Investors and miners should watch for further increases in ZEC's price and hash rate, as well as potential implications for other smaller-cap cryptocurrencies that may also offer attractive mining opportunities.