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For Matt, this is a no win situation.
In all likelyhood he will end up in a match with Kane, probably at the Vengeance PPV. Now, he might even get a cheesy win, but more likely is that they try to build Kane back up (after his tap out loss to Benoit) in order to set him up for HBK at Summerslam, or whenever that program continues/ends.
What I can see is that Kane will face Hardy and hurt him pretty badly. I know Hardy has been putting off some surgery, and this would probably be a good time to take him off TV for a little while.
As for the future, he's already been screwed. first, I know the WWE has no intention of giving him a serious push because of his book. Will they ever forgive and forget? Maybe, but I doubt it.
But just looking at the angle, I dont see how Matt can come out looking strong. First, his girl slept with Kane so Kane wouldn't beat him up. That makes Matt look like the biggest pussy this side of Disco Inferno. On top of that, Matt got played by buying Lita a ring, only to get humiliated on national TV (again not a babyface move). If the baby ends up being Kane's and he stays with Lita, he also looks like a punk because he's accepting the cheating and raising another dude's kid. And even if the baby is him, bottom line is Lita still slept with Kane to protect him. This idea that people will get behind Matt for being a stand up guy is false, there's no past evidence of fans getting behind guys who get played. Thats why Hunter would never let Angle steal Steph from him, because he knew it would make him look like a punk.
If he goes on a killing spree in the back, meh that will only go so far because we all know they wont push him to the top. So I see this angle as a way to actually bury Matt, while still keeping Kane in a key TV angle so he can stay hot for his movie (whenever that gets made).
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