$BNB Nevertheless, some investors believe that creating a reserve will have a positive impact on the industry in the long run.

"I am absolutely confident that the market is wrong," said Matt Hougan, Chief Investment Officer of Bitwise Asset Management. "The market is disappointed in the short term" that the government has not announced an immediate purchase of 100,000 or 200,000 bitcoins, he added.

Hougan called the decline in cryptocurrency prices a "short-term failure."

"I think the market will soon find its footing and realize that this is actually incredibly positive in the long term for this asset and for cryptocurrency as a whole," he concluded.