Bitcoin's market dominance has decreased slightly as altcoins gain traction, with analysts cautioning against an imminent 'altcoin season.' Grayscale's Zach Pandl notes that while Bitcoin's market cap is decreasing relative to other cryptocurrencies, it is more likely to plateau than drop significantly. Currently, Bitcoin comprises about 63.5% of the total market cap of the top 125 cryptocurrencies. Despite altcoins like Ethereum performing well recently, uncertainties in the macroeconomic landscape suggest that investors may revert to Bitcoin during times of volatility. This shift is partially attributed to lower inflation and easing trade tensions, which boost risk appetite among investors. Analysts highlight that while Bitcoin and altcoins have distinct advantages—Bitcoin as a 'safe haven' and altcoins due to their technological innovations—any shift in market focus can alter Bitcoin's dominance dynamics. In summary, Bitcoin's dominance could stabilize between 60% to 70% amid ongoing fluctuations in market sentiment.

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