Bitcoin's dominance in the cryptocurrency market has shown signs of weakening, leading analysts to ponder whether it has reached its pinnacle as traders increasingly turn their attention to alternative coins.

According to Michaël van de Poppe, founder of trading firm MNTrading, "Bitcoin dominance has likely peaked," suggesting that the bottom for altcoins may have already been reached.

A decline in Bitcoin's dominance often signals an impending surge in the altcoin market, as investors shift their focus from the relatively stable Bitcoin to the more volatile altcoins.

Matthew Hyland, a crypto trader, noted the waning support for Bitcoin dominance and highlighted the importance of monitoring the weekly close to confirm any potential breakdown.

Bitcoin's dominance currently stands at 53.90%, down 1.75% over the past week but still up 4.63% since the beginning of the year.

While Solana and Dogwifhat (WIF) have experienced modest gains in the past 24 hours, Bitcoin's price has seen a decline of 10.44% over the same period.

However, the prevailing market sentiment, characterized by heightened fear levels, suggests uncertainty among investors, potentially leading to a shift back towards Bitcoin as a safer investment option.

With the Crypto Fear and Greed Index reaching its highest fear level of the year on May 1, sentiments indicate a cautious approach among market participants amidst evolving market dynamics.