Option 1 is a reasonable explanation based on the behavior that arguably works best for 99% of users .
Option 2 is a “data grab” with no evidence or theories about who is grabbing what data and for what purpose.
One possible motive: a billion dollars of AirTag revenue, https://macdailynews.com/2022/06/20/apple-estimated-to-sell-...
"Oh, you disabled Bluetooth and left it that way? Well, we know better so we're going to turn it back on without your knowledge or approval. You're welcome."
I don't buy the convenience excuse either otherwise the behavior could be disabled if desired.
The same button in Control Center previously Turned Off the Bluetooth radio.
The button does not do what it (a) claims to do, (b) previously did.