Logically it should. Properly timed, no, it will be a painful betrayal at a vulnerable time.
I'm coming at this constructively: I want Bitcoin to succeed! But for that to happen, we also need to recognize the magnitude of what that means.
Discussion
Well look, that was easy - you've just outlined what a potential attack looks like. When that is playing out in real time and you have unstoppable communication networks exposing it, with a global network of Bitcoiners watching, fully aware of what's going on, what do they do? They HODL and they buy the government dip.