I agree with this reason, and I think this is maybe one of the most important reason why bitcoin dominance is so high, and altcoins do not follow
king of crypto as was the case in the past. Many investors are burn too much money with altcoins, and they see that only bitcoin is crypto with purpose. There is a
saying Fool me once, shame on you, fool me twice, shame on me. I would truly like this to be the case but let us revisit it when there's a proper bull run on. All notions of usefulness or value fly out the window when there's a whiff of dollars. So far it all looks pretty standard to me.
Even if institutional money is leading with Bitcoin there's a whole world of saps out there who'll swallow the 'next Bitcoin' narrative no matter what's actually screaming in their face.
I'm sure a ton of alts are never coming back. That still leaves plenty that will when the moment is ripe.