A couple of things to note from this headline is that the US seized 30,100 BTC from the Silk Road back in 2021 and the amount of funds moved is just 2,000 BTC. In January the government announced it was going to sell 2,933 BTC worth at the time $133.5 million. That was back when the price of BTC in the low $40k range so with it now up over 75% of that it looks like the government is moving to get a certain dollar amount rather than selling an actual BTC amount.

Even with the likely sale via Coinbase, the government will have a ton of BTC left that I would expect them to sell off in increments as to not tank the market. With major industry players like Fidelity and BlackRock now involved the government has no reason to try and tank BTC because of the damage they will do to their own companies.