Bitcoin's market dominance has surged to 64.89%, a level not seen since January 2021, as its price has soared past $97,000. Starting the year at approximately 57.90%, BTC's capitalization percentage of the overall market has notably risen. This increase has been attributed to a combination of market sentiment shifts, particularly after the election of Donald Trump, which generated initial euphoria leading to altcoin price surges but later transitioned into uncertainty due to tariff escalations. In contrast to Bitcoin's rise, altcoins such as Ethereum and Solana have seen significant declines from their respective highs. Bitcoin's resilience and limited supply, alongside investor shifts from traditional assets like U.S. Treasuries to Bitcoin ETFs, are contributing factors to its dominance. Institutional demand remains robust as Bitcoin ETF inflows have surpassed gold ETFs, indicating a stronger preference for Bitcoin as a hedge against economic uncertainty. Although Bitcoin's dominance is currently strong, any potential resolution in ongoing trade disputes could alter the landscape of crypto investments, prompting a shift back to speculative altcoins.

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