In August, more than 80 percent of the top cryptocurrencies by market value rose, producing the broadest rally of the year in the crypto market.

On Aug. 8 (all times local), blockchain media outlet CoinPost reported that CryptoRank, in a monthly analysis, counted 70 of 84 tokens among the top 100 excluding stablecoins as rising in August, or 83 percent.

This rebound differed from a market in which only bitcoin rises. In June, 87 percent of the same 84 tokens fell, but the balance flipped to gains in just 8 weeks. CryptoRank pointed to this sharp reversal as the core of August trading.

Monthly performance for bitcoin and ethereum also stood out. Bitcoin rose 25 percent in August, posting the third-highest August gain on record and the strongest August momentum since 2017. Ethereum gained 32.5 percent, marking its best August result since 2021.

Still, an assessment emerged that the overall market did not immediately move into a typical altseason. The top 100 altcoins as a whole rose 26.5 percent in bitcoin terms, slightly above bitcoin's 24.5 percent gain, but the median rise for individual tokens was 17 percent. CryptoRank said some large and mid-sized tokens lifted the index and that the "altseason index" stayed below 40 points. That means altcoins have not fully taken market leadership.

Investor sentiment also shifted quickly in August. The Fear and Greed Index stayed in the fear zone at 51 or below for 217 straight days through Aug. 20, but moved into the greed zone within days. On Aug. 25, it rose to 74, the highest level since October 2025. CryptoRank judged that a series of short liquidations amplified price gains while positioning was light.

Inflows also supported the move. U.S. spot bitcoin ETFs posted $3.52 billion of net inflows in August, showing the strongest monthly momentum of 2026. That marked a clear reversal after $4.51 billion of outflows in June. Net inflows continued for 9 straight trading days from Aug. 17 to 27, and 16 of 21 trading days were positive in the month. About $1.85 billion also flowed into U.S. spot ethereum ETFs.

The rebound in digital asset prices also coincided with credit expansion in the DeFi market. DeFi loan balances rose from $20.1 billion in June to $21.7 billion in July and $26.1 billion in August, up 30 percent in two months. CryptoRank assessed that the pattern of adding collateral and borrowing again has revived and that the price rise is accompanied by expanded circulation of funds rather than simple speculation.

Still, caution remains over growing leverage. It was noted that the increase rate in loan balances was similar to bitcoin's rise over the same period, meaning that if prices fall again, deleveraging of borrowed positions could follow. That suggests pullback risks can rise along with the size of the rally.

Meanwhile, changes appeared in real-world asset-linked segments that have shown strength this year. Perpetual futures trading volume backed by real-world assets turned to a decline for the first time since January. It fell 13.5 percent to $122 billion in August from $141 billion in July. This reflected a shift in funds seeking profit opportunities from the real-world asset-linked market back to major cryptocurrencies as volatility in bitcoin and major tokens returned.

The September market is seen as a turning point to gauge the durability of this rebound. The U.S. Treasury plans to expand the size of long-term Treasury bond purchases per operation from a maximum of $2 billion to a minimum of $4 billion from Sept. 9. CryptoRank judged that September trading will test whether the August rebound was temporary short covering or leads to a sustained upswing accompanied by broader circulation of funds.