theory's and stuff.
I know this game is not about its lore and or story but its still fun to discuse these things.
The story(i think): The player some how found him self in a room (Which may be hell) and found the dagger, after grabing it the player) is put into a life or death fight with the hourds of hell, which goes on till the player dies, in which the it will start all over.
That what I can tell