Altcoins have seen significant growth recently, and current crypto market conditions suggest that there may be a move toward cryptocurrencies outside of Bitcoin, according to the Coinbase.
“We think current market conditions today suggest a potential move to an entire Altcoin period as we approach September,” global research leader of Coinbase Institutional, David Duong, write In a monthly outlook report on Thursday.
The Coinbase Analyst joins a growing chorus of entrepreneurs and market observers that are tipping for an imminent Altcoin period.
Firm specified Altcoin period As if at least 75% of the top 50 altcoins through the Bitcoin (BTC) capitalization outperform (BTC) in the past 90 days.
Duong added that there is a “significant retail capital sitting on the edges” in the money market funds, and the federal reserve emergence can “unlock more retail participation in the medium term.”
July of US Consumer Price Index (CPI) This week showed inflation holding 2.7% year-on-year, seeing the Odds of a fed September rate cut increase by 92% in the futures market.
A lower interest rate environment can take fresh market capital and can be a catalyst for high risk properties such as altcoins.
Bitcoin’s dominance decreases
Another factor that influences the advent of the altseason is to collapse in the dominance of bitcoin or total portion of the crypto market capitalization.
Dominance in the Bitcoin market declined around 10% from more than 65% in May 2025 to approximately 59% in August 2025, “signal the first stages of capital to the altcoins,” Duong wrote.
Bitcoin’s dominance is currently 59.5%, around the lowest level since late January, According to In tradingview.
“Bitcoin dominance has only developed the first monthly bearish cross since January 2021,” noticed Crypto day trader this shimotsuma on Thursday. “Back then, the Altcoins only went up for four months when this happened,” he said before adding, “something similar at this time will cause an up-only rally until December 2025.”
Altcoin period indexes move higher
Altcoin season indexes also climb higher, but still remain under the 75 threshold where they refer to the altseason history, even though the Altcoin Market Cap has risen to more than 50% since early July, Duong observed.
Coinmarketcap ‘altcoin season Index Currently sitting at 44, which climbs from below 25 to July. The Altcoin Season of Blockchain Center Index was a neutral 53, while the Cryptorank altseason Index is a level 50.
Interest at the institution at ETH is driving the Altcoin period
Duong said the current momentum is that -fueled by Digital Asset Treasury and StableCoin’s narratives, with a difference in the altseason indexes and total Altcoin market caps that “reflects the institutional interest in Ethereum,” before graduating:
“As the Cap of the Market Market and the Altcoin Season index show an early positive signal, we believe the conditions set up for a potential cycle to a more mature Altcoin period as we headed for September.”
“Three basic conditions need to be aligned for a period of Altcoin held: a supported macro backdrop, denial of BTC’s dominance, and a strong new narrative,” said Joanna Liang, who founded Singapore -based venture capital firm Jsquare, told Cointelegraph.
“The previous cycles were driven by clear catalysts: ICO in 2017–2018, Layer-1s in 2018–2019, and Defi/NFTs in 2021–2022,” he said before adding:
“In this cycle, the market is still waiting for a compelling signal of the main market that can draw significant new capital and truly ignite an Alteseason.”
Magazine: Altcoin Season 2025 is almost here … but the rules have changed
