No, this isn't what I was suggesting. Instead, it's not confirmation bias on the particular conspiracy that drives the process. Instead, it's confirmation bias on some underlying broad cultural myth like "racism died in 1960", "the moral majority thinks XYZ", or "biological gender is binary and normal", etc. Of course, these are myths, they aren't real; at best, they are an oversimplification, at worse, they are complete bullshit.
But, people hold their myths very dearly. So, when they see evidence that those myths are false, it presents a problem for them. They can either accept that their cultural myths are bullshit or they can just ask questions. Of course, accepting your cultural myths are bullshit has implications for one's identity in a way just asking questions seems not to. And then people proudly march down the path you have described. The conspiracy provides them a method to believe that these cultural myths are real but for some shadowy something that has perverted things.