The government has made partnership with
Coinbase and has entrusted them to hold seized bitcoins. So if anyone is saying that this is a sign of a market crash or a reason for it then don’t believe them and remain steadfast in your hodling.
If you read the article you shared more carefully, you'll see that it says they are in charge of trading the seized bitcoins, not just holding them. I mean, it's not that I care what they do with it or that I'm worried about them selling, but let's not misinterpret things.
Today, the U.S. Marshals Service (USMS), an agency within the U.S. Department of Justice that is responsible for asset forfeiture, announced that it selected Coinbase Prime to provide custody and advanced trading services for the agency’s “Class 1” (large cap) digital assets, which it manages centrally in support of federal law enforcement.
People just misinterpret everything US government do and they only look at those figures moved then get panic since they think there's negative effect it will give to the market. But we see people reaction on that situation and they should be calm in such situation since we need to normalize those kind of selling since there's provably instances that any institution will take their profit so we need to chill and don't get scared about those situation since it will never create scary dump in the market.
Maybe some people like OP just want to hear some opinion from other people regarding on this action done by US government. So provably lots of people confused about that situation already know that there's nothing to get fear and its better for them to relax then focus on their investments.