Market Valuation & Trends - The fair value of the cryptocurrency asset class is estimated to be approximately $4.137 trillion, while the actual value is around $3.782 trillion [2] - This represents an undervaluation of approximately 8.58% [3] - The asset class is expected to trend towards a market cap of $10 trillion, but pullbacks and even a bear market are possible before 2026 [19][20] Altcoin Dynamics & Bitcoin Dominance - To see a more durable move to being overvalued, the altcoin market has to participate [5][12][18] - The industry is potentially in a blue chip dominance phase, where Bitcoin and Ethereum are drawing liquidity from other altcoins [12][13][18] - Bitcoin dominance could see another surge potentially starting in late August, September, or October [13] - It is possible for both Bitcoin dominance and ETH/Bitcoin to increase simultaneously, as altcoins can bleed to both Bitcoin and ETH [14][15][16][17] Historical Context & Risk Assessment - Overvaluations can lead to bear markets, as seen in 2022, 2018, and 2014 [8][9] - Extensions from the fair value in March 2024 were about the same as in December 2024, with undervaluation drops of around 30-35% [10][11]