$BTC The DOJ’s impending Bitcoin sale has raised concerns over its potential impact on market dynamics. Bitcoin, which hit a new all-time high of over $108,000 in December 2024, has retraced to $92,000, partly due to bearish sentiment fueled by the announcement.

Historically, the U.S. government’s large-scale liquidations of seized Bitcoin have resulted in short-term price corrections due to increased supply against lowering demand.

Speculation that the sale could disrupt President-elect Donald Trump’s pro-crypto policy plans adds to market jitters.