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I will not react excessively to the defeat of Bayern Munich or Dortmund because Bayern Munich has no real interest in this match because they should let go of the Bundesliga title which is no longer possible to achieve and focus on their match in the Champions League.
The defeat that Dortmund secured over Bayern Munich poses some level of disadvantages for fans and believers of the club because at this level, nobody is expecting Bayern Munich to be loose that they would be defeated with two goals at home by their visitors and they could not even re-equalize any of those goals whereas they have arsenal to face in their next Champions League competition.
I feel like this is a dent on their performance and they have to really work on their defense and the entire first eleven ahead of their next match because arsenal would not take it lightly with Bayern Munich if they don't perform well.
This singular act has made a lot of people already lost hope in the club's chances of winning in the quarterfinals played against arsenal. The manager needs to work hard in his tactics to defeat their opponent in the quarterfinal game which isn't going to be easy anyways.
A major setback occurred for Bayern Munich supporters with the defeat they suffered against Dortmund. The result of the match turned out to be so unexpected that no one could imagine how Bayern Munich would lose at home by a margin of two goals. No doubt, this defeat could also raise doubts about their performance in future competitions, such as the Champions League. In order to gain the upper hand in the next match, Bayern Munich must look to strengthen its defense and ensure they prepare attentively.
At this time the team's self-confidence will really be tested severely and requires a lot of attention from the coach to ensure the players maintain mental and physical stability. The quarter-final clash with Arsenal will be a tough test for them, and Bayern Munich will have to do their best to win. In a competition at the level of the Champions League, nothing should be taken for granted, and strategy plays a very important role in achieving victory.
Even the old fans of Bayern Munich cannot remember a time when they had an unstable team like that.
Bayern Munich was known for the stability they had before and they didn't change their coach or their system a lot, in fact, the whole German national team was made of the system they use in Bayern Munich. But now you can see Bayern Munich is in a bad situation and they even got their coach fired to use Tuchel but he couldn't help the team.
Now it seems they want to use another coach for the next season while there are some coaches linked to this team. Even there is the chance for Nagelsmann to return.