Most Hedge Funds Expect Bitcoin Dominance to Rise, Delaying Altcoin Season

A recent survey by Crypto Insights Group, reported by DL News on April 23, 2025, reveals that 70% of hedge fund managers expect Bitcoin’s dominance in the crypto market to increase over the next six months, potentially delaying the much-anticipated altcoin season. The findings highlight Bitcoin’s growing appeal as a safe-haven asset amid macroeconomic uncertainty.

April 24, 2025 – Bitcoin’s dominance in the cryptocurrency market is set to rise further, with 70% of hedge fund managers anticipating an increase over the next six months, according to a survey by Crypto Insights Group reported by DL News on April 23, 2025. The survey, which included 50 hedge funds managing over $5 billion in assets, found that this sentiment is triple what it was in 2024, signaling a potential delay in the altcoin season as investors prioritize Bitcoin’s stability and liquidity.

The report identifies three key factors driving Bitcoin’s dominance. First, Bitcoin has demonstrated resilience amid heightened macroeconomic uncertainty, attracting safe-haven capital as investors flee riskier assets. Gold prices recently hit historical highs amid similar concerns, per the Global Times . Second, the launch of Bitcoin ETFs and the establishment of U.S. strategic Bitcoin reserves, such as the New Hampshire Bitcoin Reserve Bill passed on April 23, 2025 , have provided clearer regulatory frameworks for institutional investors. Third, many altcoins have underperformed, prompting investors to favor Bitcoin’s higher liquidity and lower risk profile.

Bitcoin’s market cap recently surpassed Alphabet (Google) to reach $1.86 trillion, ranking fifth globally, per 8marketcap data . The cryptocurrency traded at $93,719 on April 23, up 6.27% in 24 hours, with the global crypto market cap hitting $3.2 trillion, per CoinGecko. However, Glassnode data indicates a key resistance at $97,000, where 392,000 BTC are concentrated, potentially slowing its push to $100,000.

The shift comes amid a supportive regulatory environment, with new SEC Chairman Paul Atkins promising a “rational, coherent” approach to crypto regulation on April 22, 2025, per The Block . This, combined with institutional adoption—like SOL Strategies’ $500 million financing to accumulate SOL (SolanaFloor)—suggests a maturing market where Bitcoin continues to lead, though selective altcoins may still find opportunities.

Investors should remain cautious as macroeconomic factors, including potential U.S. recession risks (40% chance in 2025, per IMF via Jin10.com), could further drive safe-haven flows to Bitcoin, while altcoins face increased scrutiny. The altcoin season may be delayed, but projects with strong fundamentals could still thrive in the evolving crypto landscape.