The government is speculating on cryptocurrencies again.

According to Cointelegraph, U.S. Treasury Secretary Scott Bessent said the government has no plans to increase its Bitcoin reserves, causing Bitcoin to fall below the psychological support level of $120,000 and now trade at $118,730.In an interview with Fox Business, Bessent confirmed that the government will not be purchasing any more Bitcoin, but will instead use seized assets to increase its reserves. This contradicts President Trump’s previous executive order, which called for a budget-neutral strategy to increase Bitcoin holdings.In April, Bo Hines, then a member of the President’s Digital Asset Advisory Council, said the administration was exploring options to fund Bitcoin acquisitions through tariff revenue and the revaluation of Treasury gold certificates.