You have KS3.1 installed. Under 3.1, the wait time before the disk animation appears was increased to around 30 seconds. You will only notice this if you do not have a HD on your mobo IDE socket.
There are devices sold that can change that behaviour by fooling the machine into thinking there is a HD connected so it stops waiting for the drive to report it has spun up.
Your holding down 2 is just disabling the 030 on your blizzard card. If the machine isn't booting properly with the 030 enabled, then it is possible your card has developed a problem . But in either case, it will still take 30 seconds to visibly do anything owing to your lack of HD. (Under 3.0, the spin up wait time was around 6 seconds).
