The crypto market is sending mixed signals. Despite earlier hopes for an altcoin season, Bitcoin dominance in this cycle is rising, which usually means trouble for small-cap altcoins. While a few altcoins might do well, the overall altcoin market has shown signs of weakness.
So while broader altcoins face pressure from BTC’s dominance, altcoin leader Ethereum still has a shot to flip the script.
Related: Bitcoin Dominance Hits 3-Year High But Faces Historical August-September Slump
Ethereum’s Make-or-Break Test in August
Analyst Benjamin Cowen said that August will be a decisive month for Ethereum. If Ethereum can break above $4,000 soon, it could trigger a strong rally by the end of the year.
If it fails to clear that resistance, however, Cowen suggests the price could enter a “slow grind,” likely finding support and forming a higher low in September before its next major attempt upward.
Source: Benjamin Cowen
Cowen remains confident that Ethereum will hit new all-time highs this year, but he admits it won’t be a straight or easy path.
Ethereum Short-Term targets
Ethereum is currently facing strong resistance between $3,900 and $4,100, which it has failed to break through in recent days. This rejection has led the price to pull back toward key support levels.
Right now, Ethereum is testing the $3,500–$3,600 range, and if it breaks below $3,500 with a daily close, it could drop further toward $3,200–$3,300.
The Bigger Picture is ETH Bull Run Building Up
One analyst has said that the biggest crypto bull run ever could be quietly building up. The expert backed his claims by painting out to economic changes that are already happening. Over 258,000 jobs have disappeared from official data, and inflation according to real-time trackers has dropped to 1.67 percent, which is actually lower than the Federal Reserve’s 2 percent target.
While many are feeling very bearish, the biggest crypto bull run we’ve ever seen is coiling.
Please pay attention and zoom out immediately!
258,000 jobs just vanished from official data while Truflation’s real-time inflation just cratered to 1.67%, below the Fed’s 2% target.…
— Dan Gambardello (@cryptorecruitr) August 1, 2025
This kind of environment, where inflation cools and the economy slows, usually leads to rate cuts. And when interest rates come down, more money enters the system.
Related: U.S. Jobs Report Miss: Payrolls Up 73K, Fed Cut Bets Rise, Bitcoin Reacts
That liquidity often flows into high-growth assets like crypto. If the Fed starts easing policy, it could light the match for the next big run.
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