The quantity of Bitcoin holdings by the US government has sparked heated discussions in the market

Recently, a document obtained through the Freedom of Information Act has attracted widespread attention in the cryptocurrency community. The document shows that a certain law enforcement agency currently holds approximately 29,000 Bitcoins, valued at about $3.44 billion. This figure represents a decrease of nearly 90% compared to the previously estimated 200,000 coins, sparking speculation in the market about whether the government has quietly sold off a large portion of its Holdings.

However, independent journalists emphasize that this list only represents the Bitcoin held by the agency and does not reflect the full holdings of the government. Other law enforcement agencies may still hold Bitcoin that has been seized but not yet completed the forfeiture process. Therefore, the key to understanding this data lies in distinguishing between "seized assets" and "seized assets that have not been forfeited."

Nevertheless, discussions about whether the government has "dumped" Bitcoin continue. Some industry insiders point out that traditional on-chain tracking methods may not fully reflect the actual situation, as there may be offline transactions conducted through custodians. This operation allows the transfer of ownership of Bitcoin to be completed without generating on-chain transaction records.

In the current context, the disclosure of this data is particularly sensitive. Previously, relevant parties had stated that they would retain the government's Bitcoin holdings as part of a "strategic Bitcoin reserve." A senator expressed shock at reports that more than 80% of the Bitcoin reserves might be sold, calling it a significant strategic blunder.

Some analysts believe that if the government's Bitcoin Holdings significantly decrease, this may explain the long-term stagnation of prices in the past and could be seen as a bullish signal. At the same time, there are also views that if the government needs to repurchase a large amount of Bitcoin to replenish its strategic reserves, this could have a significant impact on the market.

Regardless of the final data, this event has injected a critical variable into the market. If the previous market adjustment was indeed partly due to the government's off-exchange trading sell-off, then as this portion of the chips completes its transfer, the foundation for Bitcoin's rise may become more solid. More importantly, if the U.S. shifts from a potential maximum selling pressure party to a possible margin call demand party, the liquidity restructuring brought about by this role reversal could have profound effects on the market.