Bitcoin rebounds on temporary ceasefire as hashrate contracts and stagflation signals build

The ceasefire-triggered short squeeze that lifted Bitcoin 4.5 percent to $71,718 changes nothing about the dominant reality of exhausted demand and brittle positioning. Price stabilized on liquidation flows rather than bids, with Fear and Greed stuck at 17 and MVRV near holders' cost basis, meaning this remains a reactive bear-market bounce inside distribution rather than the start of anything sustained. Self-custody outflows tighten supply but cannot offset the absence of base-layer usage or Lightning expansion. What holders are ignoring is the widening gap between central bankers insisting the energy shock is manageable—with rates on hold and only one projected cut—and markets that have already repriced for embedded stagflation through gold at $4833, Brent above $96, and VIX near 26. That disconnect grows more dangerous as miners accelerate their pivot to AI, producing the first quarterly hashrate decline in six years and an imminent difficulty drop that confirms widespread unprofitability at current levels. If profitable mining now competes directly with artificial intelligence infrastructure, how high must Bitcoin trade before operators return, and will holders still be waiting?