Crypto hedge fund founder CK Zheng predicts that Bitcoin could reach $125,000 by the end of the year, but its dominance in the cryptocurrency market will likely decrease as other digital assets outperform. Zheng believes that a thriving crypto ecosystem cannot have 60% of the market cap trapped in Bitcoin and expects Bitcoin's dominance to wane. The shift in Bitcoin's dominance is influenced by the friendlier stance of the Trump administration towards the crypto sector, with reports of a national crypto reserve and dropping lawsuits by the SEC against major crypto companies. ZX Squared Capital predicts that regulatory changes and innovation will benefit cryptocurrencies like Ether and Solana, particularly those integrating AI and blockchain technology. Bitcoin's potential upside will depend on macroeconomic trends and the evolving economic policies of the Trump administration.
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