With Bitcoin's control over the cryptocurrency market, the altcoin season may officially begin in September

The latest report predicts that the altcoin season may start in September, with market leadership shifting from Bitcoin to other cryptocurrencies.

Research Director David Duong outlined three key driving factors: the decline of Bitcoin's dominance, improved liquidity, and growing investor interest in high-risk assets. As Bitcoin's market share decreases, capital typically first flows into large-cap altcoins, and then into mid-cap and small-cap tokens. The narrowing price gaps and increased order book depth demonstrate improved liquidity conditions, making altcoin trading easier. The report notes that a stable macro environment and controllable volatility may further encourage altcoin investments, following historical patterns that suggest blue-chip altcoins will lead over smaller assets. Although the report does not specify which altcoins will perform best, Coinbase has observed that ETH (up 37.9% year-to-date) and XRP (up 49%) have already outperformed Bitcoin's 27.2% increase this year.