Bitcoin's identity crisis fuels market volatility

Bitcoin's persistent identity crisis, oscillating between being a commodity, currency, technology asset, and macro hedge, is the primary driver of its inconsistent market behavior. This ambiguity prevents a unified framework for its valuation, leading to competing narratives among different investor groups. Some view it as 'digital gold' for inflation hedging, others as a high-growth tech proxy, and a third group treats it purely as a trading instrument. This lack of consensus means Bitcoin's price is pulled in multiple directions, often correlating with speculative assets during risk-on periods and selling off with equities during stress, challenging its safe-haven narrative.