Zach Pandle, director of research at Grayscale, said that Bitcoin’s pullback from its all-time high is “not a reason to panic.”

In an interview with Coinage, he emphasized his optimism about Bitcoin’s long-term potential and pointed to favorable macroeconomic conditions, the rise in Bitcoin ETF adoption, and crypto-friendly shifts in U.S. policy.

What are the pressures in the short term?

Pandle noted that the Federal Reserve’s cautious approach to rate cuts has temporarily strengthened the dollar and put pressure on Bitcoin. However, he sees this situation as a “short-term headwind” in a long-term positive trend. According to Pandle, Bitcoin’s current price movements reflect its growing role in the global financial system. It is now an asset worth about $2 trillion that has become integrated into the macroeconomic system.

Altcoin Season and Bitcoin Dominance

Pandl notes that Bitcoin’s competition with major currencies such as the euro and Japanese yen is intensifying, indicating a period when altcoins will come to the fore in the crypto market. He stated that Bitcoin’s market dominance is declining in line with historical trends, and therefore an “altcoin season” may soon be upon us. Pandl believes that this period could create opportunities for crypto investors.

Pandl tells investors that they should focus on the long-term growth potential of cryptocurrencies despite the short-term volatility, saying, “The industry continues to grow with strong headwinds.”

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