Ignas: Bitcoin Faces a Crisis of Confidence Rather Than a Price Collapse

DeFi researcher Ignas stated that Bitcoin is currently facing a crisis of confidence rather than a simple price decline. The narrative of Bitcoin as a store of value is highly correlated with its price performance, and the continuous drop in price has weakened market belief in this narrative. Many investors had thought that $58,000 was the bottom for this round, but Bitcoin failed to rebound, while AI stocks rebounded first, further dampening market sentiment and leading bottom-fishing funds to shift towards AI stocks instead of the crypto market. Ignas pointed out that in the past, when Bitcoin fell, there were always many bullish voices in the crypto community to boost market confidence, but now it seems unusually quiet, with some early Bitcoin believers starting to buy ZEC or PRL as a hedge. Additionally, factors such as the outflow of stablecoin funds and the possibility of Strategy being removed from MSCI have also intensified market concerns. In contrast, some altcoins are still performing relatively well compared to Bitcoin, but Bitcoin's weakness continues to drag down the entire market.