Historical data shows that Bitcoin auctions organised by the US government have not had a long-term impact on Bitcoin prices.

For instance, between March 2023 and now, the US government’s Bitcoin holdings have decreased from 236,000 Bitcoin to 198,000 Bitcoin, a reduction of approximately 38,000 Bitcoin, valued at around $3.54 billion at today’s prices. Despite this selling, Bitcoin's price rose by 375% during the same period, driven by strong demand for newly launched Bitcoin Exchange-Traded Funds (ETFs) and growing optimism surrounding Trump’s electoral pledge to include Bitcoin in the US strategic reserves.

Experts pointed out that once Bitcoin is confiscated, the Department of Justice transfers it to the US Marshals Service, which manages sales through public auctions. These auctions are transparent and do not involve directly selling Bitcoin on cryptocurrency exchange platforms. Direct sales on exchanges could flood the market with supply, causing sharp price declines, whereas auctions mitigate these risks.