So was Madoff's fund for most of his investors?

It's worth nothing, it's priced higher than you paid. Price is what you pay, value is what you get.

I don’t care what you say it’s worth, I care what people willing to buy it will pay.

Again price vs value.

I've never argued someone wouldn't buy it from you - I'm arguing it's worthless to both parties. It's the manifestation of the bottle imp paradox. [1]

[1] https://en.wikipedia.org/wiki/The_Bottle_Imp

I get all that, it’s a fun philosophical widget to ponder over. But out here in the real world it has value to me because I can sell it for more than I paid. I’ve taken profits and converted it into real goods for myself. I am aware it could go to zero and I’ve hedged my risk appropriately.

Genuinely, best of luck! It sounds like you've managed your risk appropriately, and of course, I want everyone to make a ton of money :)

Looks like those buyers are reconsidering it's value too.

HODL? Illogical unless you believe there is some underlying value. Otherwise there will be bagholders and all you've accomplished is to guarantee you'll be among them.

What is the point of raising this distinction? Air has infinite value/worth to every human, but its price is zero. It would make as little sense to start accumulating air on the converse assumption that something that has value will eventually have a non-zero price as it would to short bitcoin on the hypothesis that it will eventually be priced at zero because it is worth zero. The goal of investing/speculating is increase the price fetched for assets you control. You can only do that with prices, value is irrelevant.