That the baby Jesus was wrapped in swaddling clothes has two important connotations, and in order to understand all that goes into the meaning of that scripture, we need to start with the meaning of swaddling clothes.
according to Merriam Webster:
1. To swathe; to bind, as with a bandage; to bind tight with clothes; used generally of infants; as, to swaddle a child.
SWAD'DLE, n. Clothes bound tight around the body.
SWATHE, v.t. To bind with a band, bandage or rollers; as, to swathe a child.
- To bind or wrap.
The words used in Luke 2:7 in the Greek is:
G4683 σπαργανόω sparganoo (spar-gan-oh'-o) v.
1. to swathe (an infant after the Oriental custom)
[from sparganon (a strip]
KJV: wrap in swaddling clothes
G4616 σινδών sindon (sin-done') n.
1. byssos, i.e. bleached linen (the cloth or a garment of it)
KJV: (fine) linen (cloth)
It was a custom of that generation in the Middle East to wrap a newborn in swaddling clothes to accomplish two things;
to give the infant the feeling of still being in the womb where he was unable to move freely and flail his arms and legs.
The infant was used to the warm temperature inside the womb and if it became cold it would not sleep and cry.
This was considered to be the transition from the womb to life;
This is eerily similar to what is said about Jesus Burial:
Luke 23;52 and 53
52 This man went unto Pilate, and begged the body of Yahushua.
53 And he took it down, and wrapped it in linen, and laid it in a sepulchre that was hewn in stone, wherein never man before was laid.
G3608 ὀθόνιον othonion (oth-on'-ee-on) n.
1. a linen bandage
KJV: linen clothes
G3607 ὀθόνη othone (oth-on'-ay) n.
1. a linen cloth
This was considered to be the method of transition from life to death.
I am not sure that it was not planned that the man Jesus should enter and depart life in the same manner.
P.S. Even should you choose this answer, which doesn't seem likely, but just in case please do not award me the bounty, I have this thing about wanting to earn my own points.