Bitcoin dominance is below 40% and it has been as high as 60 - 70% so these things swing as the market swings between exuberance and despair. Personally, I am converting my alts into Bitcoin regularly these days and I am thinking whether to convert the bigger stakes that I have in alts into Bitcoin.
There is no perfect time and if alts were to go on a tear, I'd be kicking myself but if we were to look at the bull and bear cycle from 2017, out of the top 10 cryptos, only Bitcoin and Ethereum have done well. Of course, some lesser known alts from that time have absolutely rocketed so maybe a stake in some small alts and mostly in BTC and ETH is the way to go.
As liquidity gets cut back in the economy, I expect to see some volatility both on the upside and downside as the moves get more violent. But just because interest rates go up to 2% doesn't mean it is the end of the world, does it? 2% is still very low by historical standards. You can even still get more than that on stable coins so why sell off your crypto?