The Bitcoin Dominance Rate (BTC.D) is rising again after a period of adjustment over the past few weeks. The latest data shows that this index has recovered to 58.05%, bouncing strongly from the long-term trend line maintained since early 2023.
This momentum raises concerns that the recent growth of altcoins may be nearing its end, especially as Bitcoin once again attracts liquidity back.
Warning from analysts: Altcoins may have peaked this summer.
Analyst Benjamin Cowen forecasted last week that Bitcoin dominance is likely to continue increasing in September and October. According to him, altcoins typically peak against BTC in late August before yielding back position to the 'king' in the year-end period.
"Money will flow back to the king," Cowen emphasized.
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/YX8FaX7SPtpic.twitter.com/BUN27JMC1n
— Benjamin Cowen (@intocryptoverse) August 27, 2025
He also reiterated that in many previous summers, the market has seen a similar pattern: altcoins experiencing a short-term explosion in August, then gradually weakening as Bitcoin recovers strongly in Q3 and Q4. Cowen forecasts that BTC dominance could climb to the range of 61–63%, putting significant pressure on altcoins, especially if Ethereum – the leader in the recent altcoin surge – enters the resistance zone and slows down.
Although the long-term outlook supports Bitcoin's recovery, Cowen notes that in the short term, BTC.D may still be considered overbought. He believes there remains a scenario where BTC.D could drop to 52%, but this is unlikely to happen soon and could take until the end of the year.
The recent shift towards altcoins has largely been driven by Ethereum. However, if ETH fails to break through key resistance levels, the trend back to Bitcoin could happen faster, extending into the end of Q3.
Bitcoin's price is stable, the market is watching key levels.
At the time of writing, Bitcoin is trading at $113,208, up 1% for the day but still down 1% for the week. Veteran trader Peter Brandt warns of a large sell order over the weekend, which may reflect supply pressure or distribution activity in the market.
He noted that BTC needs to reclaim the $117,570 level soon to avoid forming a "double top" pattern – a signal that could be detrimental to the bullish trend. He emphasized:
"Most of you crypto nerds have heard about the huge sell order on the BTC market last weekend. Some people consider it unimportant, but I am not so quick to judge that. This sell order reflected the actual supply in the market.
As seasoned analysts know, market tops are often formed by supply or distribution. Bitcoin needs to break back above $117,570 to avoid the past 7 weeks being seen as a potential double top.
This article does not mean that I am leaning towards the bear or bull side. This is important information because many people do not recognize the subtle details in the market.
Most of you crypto nerds know about the huge sell order that came into the $BTC market over the weekend. Some of you discount it as unimportant. I am not so quick to judge that. It represented SUPPLY. Tops in markets are created by SUPPLY or DISTRIBUTION. BTC needs to get back… pic.twitter.com/TWEoYGkaYK
— Peter Brandt (@PeterLBrandt) August 27, 2025
The strong increase of the Bitcoin dominance index to 58.05% reinforces the view that the market is gradually shifting back to BTC. Meanwhile, altcoins are starting to stagnate, facing the risk of weakening in the coming weeks if the dominance scenario of 61–63% becomes a reality.
With this trend, Q3 could witness a capital flow rebalancing, where Bitcoin continues to play a central role, while altcoins temporarily step back after a vibrant summer.