Crypto analyst Ash Crypto suggests the altcoin season could be on the horizon as Bitcoin dominance breaks below a multi-year rising trendline.
In a post on X, the analyst noted that the altcoins season is underway as Bitcoin dominance has fallen after breaking a two-year and eight-month trendline.
The metric, which tracks Bitcoin’s share of the total cryptocurrency market capitalization, declined to 57.60% this week. This indicates that Bitcoin has lost 4.13% of its market share this month, as its dominance stood at 61.72% at the start of August. Also, at a further drop to 57.2%, Bitcoin dominance has now seen a 3.29% decline in the past day.
Notably, the monthly dominance chart shows a clear break from the upward trajectory that began in mid-2022, with the latest red candle pointing to a 6.69% decline in the past month.
With this drop, Ash Crypto noted that the break in Bitcoin dominance could trigger what he calls a true altcoin season. Adding to this sentiment, Ethereum’s dominance has seen a 2.8% increase in the past day, accounting for 14.5% of the crypto market. Similarly, other cryptocurrencies managed a paltry 0.4% uptick in the past day, currently at 28.3%.
Similar to the Bitcoin dominance chart, Bitcoin’s price has seen a continuous drop in the past month. Currently, it trades at $112,505, making it a 4.3% loss in the past month. This loss is further intensified by the 2.2% loss recorded in the past day.
Meanwhile, earlier analysis had pointed to the recent drop in Bitcoin Dominance. For instance, last month, analyst Michaël Van de Poppe identified a bearish divergence on Bitcoin dominance, noting its reversal from the 66% peak in June. He said the broader trend now favors altcoins, though Bitcoin could see brief periods of strength.
Adding to this, Ito Shimotsuma recently projected Bitcoin dominance to drop below 50%, saying the chart shows one of the weakest setups in the market, which he views as a positive signal for altcoins.
Meanwhile, in May, Raoul Pal also added that Bitcoin dominance may have topped after rising since December 2024, with DeMark indicators signaling possible trend exhaustion.
Analysts Expect Alt season Soon
In a broader market context, data from CoinGecko shows that the total market cap of altcoins has grown steadily over the past month. The value increased from about $1.4 trillion at the end of July to nearly $1.8 trillion in recent times, indicating consistent upward movement in the altcoin market.
Notably, Crypto analyst Chiefy forecasted that Bitcoin’s dominance cycle is about to shift, with the current Bitcoin Season projected to end in August 2025. Historical market patterns show a recurring trend: Bitcoin’s dominance peaked above 68% in early 2017. It fell during the subsequent Altcoin Season, dropping again from around 71% in early 2021 as altcoins rallied, and most recently retraced from 66% in mid-2025.
Meanwhile, Crypto Goos noted that the Altcoin Season Index has reached 71, moving close to the 75 mark that signals an official altcoin season. The chart shows the index spiked above 90 in late 2024 but fell during the Bitcoin season by March 2025, and then steadily recovered from May to August, with the latest reading suggesting altcoins are set to gain momentum over Bitcoin.
Similarly, CryptoQuant analyst Axel Adler had earlier said the market may be nearing an altcoin season, pointing to shrinking altcoin balances on exchanges. He noted that average monthly flows have dropped to $1.6 billion, below the $2.5 billion yearly average, a sign of investor accumulation that has historically preceded altcoin rallies.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
