Recent reports on the cryptocurrency market, influenced by evaluations from Coinbase and Pantera Capital, predict a new bullish phase for altcoins starting from September. Both companies assert that developments in market conditions are bolstering a broader token rally, suggesting a significant turn in the digital currency landscape.
Signals of Market Structure Shifts
In a report released on Tuesday, Pantera Capital noted that altcoins have begun to outperform Bitcoin 
$76,830 in the latest wave of increases in crypto asset prices. The firm indicates a movement away from the previous Bitcoin-centric rally structure. Historically, Bitcoin has experienced two prominent phases of rise, with spot ETFs fueling price increases from late 2023 to early 2024 and former U.S. President Donald Trump’s statements supporting the June-December 2024 rise. However, demand for altcoins during these surges remained low.
Altcoins’ Contribution to Market Growth and Future Expectations
Pantera Capital emphasizes the importance of closely monitoring the contribution of altcoins to market growth. Their analysis shows that during the 2015-2018 growth cycle, altcoins accounted for 66% of the total growth and 55% during the 2018-2021 period. The current cycle shows this contribution at 35%, with past data suggesting a potential for an additional 20% growth. Before a full-blown bull market in the crypto space typically begins, a decrease in Bitcoin’s market dominance is often observed. Coinbase reports that Bitcoin’s market dominance dropped from 65% in May to below 58% in August.
Rising Interest from Institutional and Individual Investors
During the same period, the total market value of altcoins has surged by over 50% since July, reaching 1.4 trillion dollars. Coinbase specialists highlight a recent shift of individual investors’ interest towards altcoins. Google searches for “altcoin” have reached their highest levels since January 2018. Additionally, new regulatory frameworks like GENIUS and CLARITY in the U.S. positively impact market activity. Particularly for Ethereum 
$2,273, the rise in real-world asset involvement and institutional buying is significant. These developments are deemed supportive of the altcoin market.
Representatives of Pantera Capital stated, “Altcoins’ role in market growth is increasing, and compared to previous cycles, we believe the growth potential persists.” Similarly, Coinbase analysts expressed, “The shift in interest among individual investors and regulatory developments support an altcoin-focused rise.” Experts suggest that conditions are ripe for the onset of the altcoin season but stress the necessity of careful monitoring of the process given the changing market conditions.
