The price of Zilliqa's native token, ZIL, exploded by more than 70% in a single day, marking one of its strongest performances in months. This dramatic rally was directly triggered by the confirmation of a major network upgrade, drawing concentrated inflows while the broader crypto market remained under pressure.
The catalyst for the surge is the rollout of Zilliqa node version 0.20.0, which aligns the network with Cancun-era Ethereum Virtual Machine (EVM) functionality and sets the stage for a scheduled hard fork on February 5, 2026. This upgrade is designed to improve smart-contract compatibility, enhance developer tooling, and lower friction for applications integrating with Ethereum-based environments.
Beyond technical improvements, the update introduced a significant institutional signal: a government-linked trust network from Liechtenstein is set to participate as a validator, strengthening network decentralization and credibility. Additional enhancements include expanded API capacity for enterprise users and the resolution of validator stability issues that had previously constrained performance.
Derivatives data revealed a massive influx of speculative interest, reinforcing the spot price movement. Total open interest surged nearly 922% intraday to roughly $55.1 million, while 24-hour futures volume expanded by over 4585% to approximately $856 million. Market positioning tilted decisively bullish, with short-side liquidations dominating, indicating bearish positions were being flushed out as the price accelerated.
From a technical analysis perspective, ZIL price broke out of a falling wedge pattern, skyrocketing above the $0.007 supply zone. The price action indicates a clear trend shift, with the token now eyeing the 200-day EMA cluster near $0.0078. Analysts suggest that a sustained breakout could pave the way for a move toward $0.010 in the near term.
Looking ahead, the upgrade is part of the broader Zilliqa 2.0 initiative, which will transition the network from Proof-of-Work to a Proof-of-Stake consensus model. Price predictions for ZIL in 2026 range from a conservative $0.0026 to a potential high of $0.035, contingent on post-upgrade adoption and ecosystem growth.
