At least one new.modern.hyper grace teacher says that sin is a symptom of a mistaken identity, not rebellion against the living GOD. Obviously, you are a follower of that teaching.
Does sin have dominion over you? Not according to scripture, you're under grace. Are you dead to sin and alive unto God? According to scripture you are. Does grace teach you to deny ungodliness? Sure does. Did you die with Christ and resurrect as symbolically shown when you were baptized? Sounds about right. So tell, does this have to do with identity? Sure does, what does the Lord say about you in His word? It is the truth and therefore let it transform you. He is not a liar, renew your mind. Find out your identity in Christ, as a born-again child of God set free from sins dominion.