Crypto Potato
2025-08-28 07:23:23

Is Bitcoin About to Drain the Life Out of Altcoins? Analyst Thinks So

TL;DR Bitcoin’s dominance climbs off key support, hinting at renewed strength into September and October. Altcoins may underperform as Ethereum-led rallies show signs of topping out this quarter. Analysts expect Bitcoin to regain control as liquidity exits altcoins in the coming weeks. Bitcoin Dominance Rebounds After Trendline Support Bitcoin’s share of the crypto market has started to rise again. The Bitcoin Dominance (BTC.D) index recently bounced off a key trendline that’s held firm since early 2023. It now sits above 58%, following weeks of decline. This rebound may signal the end of altcoins’ recent run. 1 week warning Bitcoin Dominance is likely going to move higher in Sep/Oct. As noted in the post below, ALTs tend to find tops against BTC in late August. Liquidity will flow back to the king. https://t.co/YX8FaX7SPt pic.twitter.com/BUN27JMC1n — Benjamin Cowen (@intocryptoverse) August 27, 2025 Benjamin Cowen, founder of Into The Cryptoverse, issued a warning last week. He expects Bitcoin dominance to climb higher through September and October as altcoins often peak against BTC in late August. “Liquidity will flow back to the king,” he wrote on X. Cowen pointed out that several previous summers showed similar patterns. Altcoin rallies often peak around late August, then lose strength as money shifts back into Bitcoin heading into the final quarter of the year. He reminded traders, “If you are riding ALTs right now like the last few summers, just remember that the tides will likely turn a little later in Q3.” His chart suggests a possible rise in BTC dominance toward the 61–63% range. This shift would likely come at the expense of altcoins, which could underperform during this period. The focus appears to be moving back to Bitcoin, particularly if ETH, which has led the latest altcoin push, starts to fade. Analysts Cautious on Short-Term Moves A crypto market watcher said Bitcoin dominance could still drop to 52%, but not right away. “If it goes to 52%, I don’t think it will happen until much later in the year,” Cowen replied. He acknowledged that while shorter timeframes may show BTC.D as overbought, the longer-term charts suggest there’s room to move higher. Cowen added that the current rotation into altcoins seems to be driven mainly by Ethereum’s rally. He expects ETH to face resistance soon, which could trigger another upward leg in BTC dominance lasting through September and October. Bitcoin Price Holds, but Market Watches Key Level Bitcoin was trading at $113,000 at press time, with a daily gain of 1%, though still down 1% over the past week. Market veteran Peter Brandt commented on a large weekend sell order, saying it could represent market supply. “Tops in markets are created by SUPPLY or DISTRIBUTION,” he said, adding that BTC needs to reclaim $117,570 to avoid forming a potential double top. While Brandt made it clear he wasn’t taking a side, he urged traders not to ignore the signal. With Bitcoin dominance rising and altcoins showing signs of slowing, the coming weeks may mark a shift in market direction. The post Is Bitcoin About to Drain the Life Out of Altcoins? Analyst Thinks So appeared first on CryptoPotato .

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