Allam has made it clear that he wants to rename the outfit as Hull City Tigers, which has resulted in strong criticism and banners of protest from the supporters against the decision.
The Egyptian hit back on Sunday by saying that they could "die as soon as they want" - a reference to the 'City Till We Die' movement.
This proved an unpopular interview with the Hull faithful, but Bruce feels that Allam was misunderstood when making the comments.
"I think what he was saying was he needs the situation to die, not the supporters to go away and die," Bruce told BBC Sport. "I think there's a misinterpretation. The owner's been [in Hull] 45 years, and I'm not making excuses here, but if you speak to him he still hasn't quite grasped the English language.
"I think the chairman has put something like £70m into this club, so without him there wouldn't be a club or a 'Hull City' - it would be down the tubes. We have to respect his wishes, but on the other hand he has to understand too that a lot of people feel very, very strongly about this.
"I've got to have a conversation with him. I don't think he understands quite what it means to the history and the tradition. But if he wants us to play in pink fairy dresses then he is entitled to that view."
Hull travel to Arsenal on Wednesday in the Premier League.