With Bitcoin’s market share slipping and institutional interest in Ethereum rising, Coinbase exec David Duong says September could see an altcoin rally.
Altcoins are gaining strength in the cryptocurrency market, with analysts at Coinbase suggesting that September could mark the start of a full-scale altcoin season. This comes amid a major drop in Bitcoin dominance as institutional interest in Ethereum ETH $4 569 24h volatility: 1.3% Market cap: $550.70 B Vol. 24h: $52.46 B keeps growing.
Coinbase Institutional’s head of research, David Duong, noted that Bitcoin’s share of the total crypto market cap has dropped from over 65% in May to about 59% in August, a level not seen since January.
Altcoin Season is coming
As September approaches, the transition to a full-scale altcoin season is likely.
Our positive 3Q25 outlook stems from macro trends such as potential Fed rate cuts and expected regulatory advancements.
More key themes in this Monthly Outlook report ↓
— Coinbase Institutional 🛡️ (@CoinbaseInsto) August 14, 2025
Historical trends suggest such declines in Bitcoin BTC $118 236 24h volatility: 0.2% Market cap: $2.35 T Vol. 24h: $51.96 B dominance often lead to major altcoin rallies. Altcoin market capitalization has surged more than 50% since early July. This comes despite altseason indexes remaining below the 75-point threshold, traditionally used to define these price surge periods.
Duong pointed to growing demand for Ethereum from institutional treasuries and the positive impact of stablecoin narratives. He added that the market appears to be setting up for a “more mature” altcoin rotation in the coming weeks.
Retail Interests Spike
Retail interest in the altcoin market is also rising. Google Trends shows “altcoin” searches at their highest since 2021, a pattern historically linked to phases of intense capital rotation, such as the ICO boom in 2018 and the DeFi-NFT wave in 2021.
BREAKING: Google searches for Altcoins has reached new All Time High — altseason 🔥
#1 Altcoin is $TON 🗽💎 pic.twitter.com/LblBhyLoKi
— Viktor 🧡 (@s0meone_u_know) August 13, 2025
Analysts expect 2025’s cycle to be fueled by a mix of institutional adoption, ETF activity, and expanding altcoin treasuries.
In the first half of the year, companies including SharpLink Gaming and BTCS expanded their Ethereum holdings. Similarly, Upexi (Solana), CEA Industries (BNB), and Mill City Ventures (Sui) built significant altcoin reserves.
Meanwhile, the improved regulatory environment in the United States has resulted in a surge in altcoin ETF filings. The Securities and Exchange Commission (SEC) received at least 31 such filings, including Solana, XRP XRP $3.09 24h volatility: 0.4% Market cap: $183.48 B Vol. 24h: $7.67 B , Litecoin LTC $119.9 24h volatility: 2.5% Market cap: $9.13 B Vol. 24h: $1.03 B , Avalanche AVAX $24.18 24h volatility: 0.8% Market cap: $10.22 B Vol. 24h: $1.37 B , and Dogecoin DOGE $0.23 24h volatility: 0.7% Market cap: $34.34 B Vol. 24h: $4.67 B .
Altcoin Season Next?
According to earlier reports, market expert Michael van de Poppe predicted that many digital assets could see gains of 200% to 500% over the next two to four months. The analyst revealed that he is currently “all-in” on altcoins, which have rallied to new highs amid ETH’s rally to $4,000.
Arthur Hayes, the co-founder of BitMEX, has predicted that a “monster altcoin season” driven by a combination of favorable market indicators will hit soon.
According to CoinMarketCap, top altcoins have exploded in the past week. ETH is up 20%, SOL SOL $191.3 24h volatility: 1.8% Market cap: $103.22 B Vol. 24h: $9.07 B jumped 13%, ADA ADA $0.95 24h volatility: 2.2% Market cap: $34.64 B Vol. 24h: $4.26 B shot up 20% alongside HYPE BTC $118 236 24h volatility: 0.2% Market cap: $2.35 T Vol. 24h: $51.96 B , which is pumping 21%. Such price movements may be a sign that they are the best crypto to buy in 2025.
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