Bitcoin Stung by Identity Crisis Amid Price Plunge

Bitcoin's recent price decline has left the cryptocurrency reeling, with a staggering 40% drop from its peak. This downturn has sparked an identity crisis for Bitcoin, as investors and enthusiasts alike question its core narratives and relevance in the market.

The unusual aspect of this situation is that none of the usual factors that would typically contribute to a rebound are working in favor of Bitcoin. Dip buyers, who usually step in during such situations, have vanished, and other assets such as gold, stablecoins, and prediction markets are winning over investors' attention.

Despite being granted all the conditions it desired – accommodating regulations, deep institutional adoption, and a bought-in Wall Street – Bitcoin is struggling to find its purpose. The question on everyone's mind now is: if it isn't the best hedge, payment rail, or speculation vehicle, what exactly is it for?