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Great thread- I've often wondered about this myself. I just Google searched both terms, and the winner is...belly dance! By a whopping margin, 16,300,000 entries for belly dance, but only 2,500,000 for bellydance.
I think the Google result is significant, in that it says that by about a 7.5 to 1 margin, people searching for our dance form are entering it as belly dance, which means that is how they perceive the correct spelling.
I also think that in web site design, you want to use terms which more closely match the most common internet search terms. This has to do with metatags, first of all, which are invisible to the website visitor but highly visible to search engines, and in fact are the first thing that many search engines "see" when they "crawl" the internet. Bottom line- better to use the term "belly dance" in your website, in both metatags and in the headers and text, than to use the term "bellydance."
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