This significantly constrains demand while at the same time it pressures people to put their supply in the market (sell it off). So they're lowering demand and

This significantly constrains demand while at the same time it pressures people to put their supply in the market (sell it off). So they're lowering demand and increasing supply, which is sure to drive the price down and make people lose money. Likely to the benefit of institutional investors-- the same ones that lost money on the squeeze-- to make money on shorts they places at the top. Doesn't smell right. It might even just (relatively innocently) be from soft pressure from the SEC to limit a perceived market manipulation, but it will still induce losses in positions that users might have sold at higher prices.