BitMine invests $150M in Ether and aims to control 5% of all Ethereum

Each person sees a different message in market corrections. For the timid, it is time to flee. For the giants, it is time to refill. BitMine, led by Tom Lee, precisely took advantage of the last shock to add $150 million in ETH to its treasury. An accumulation strategy that is making waves and aims for a symbolic goal: to hold 5% of all existing Ethereum.

Ethereum: the hunt for 5% is on

BitMine hits hard after a $70M purchase . In just one week, 96,798 ETH have come to swell the company’s coffers. A massive purchase made via Kraken and BitGo, according to Arkham’s data. In total, BitMine now holds over 3% of the total ether supply. The goal is clear: reach 5%.

But where many see a simple bet, Tom Lee talks about infrastructure. “We have increased our weekly ETH purchases by 39%“, he specifies. For him, Ethereum is where Bitcoin was in 2017: surrounded by doubts… but ready to explode.

While other crypto treasuries are scaling back — an 81% drop in purchases since August — BitMine stands apart. And it’s not just a PR move. With Chi Tsang leading the company and three new independent directors, governance is strengthening for a long-term ambition.

The winning trio: Fusaka, Fed, FOMO

The decision by BitMine is not just ideological. It fits a well-crafted timing. First, there is the Fusaka update, recently deployed. This crucial technical change for Ethereum improves its ability to process more transactions with more security.

Next, there is the changing wind at the Federal Reserve. Several top officials — Waller, Daly, Williams — hint at an imminent rate cut, planned for December 10. This kind of macro context always boosts risky assets, including Ethereum.

The crypto market has found its bearings… We are now more than seven weeks from the liquidation shock of October 10.

Tom Lee

A statement that justifies BitMine’s renewed appetite: its weekly ETH purchases have jumped 39%.

Cherry on the cake: Ethereum-related ETFs absorbed $140 million in one day, according to DeFiLlama, while Bitcoin’s ETFs saw $15 million fly away. The game of musical chairs begins.

BMNR, this Ethereum stock proxy that intrigues Wall Street

On the stock market side, the impact was immediate. BMNR, BitMine’s stock, soared 15% in December. Why? Because it acts as a lever for Ethereum. The correlation between BMNR and ETH rose to 0.50. When Ethereum goes up, BMNR follows, even amplifies.

Technical signals reinforce this idea. The CMF (Chaikin Money Flow), an indicator of big players’ flows, is rising despite stagnant prices. The OBV (On-Balance Volume) is also climbing. Everything suggests discreet accumulation by large investors.

An inverted head-and-shoulders pattern is forming, with a bullish potential towards $52.70, i.e., +55% from the current $33.59. But beware: in case of failure, $24.31 remains the breaking level.

Key figures not to forget

• $3,203: the price of Ethereum at editorial time;
• 5%: BitMine’s target share of total ETH supply;
• $140 million: inflows into Ethereum ETFs in one day;
• +15%: BMNR stock growth in December;
• 81%: drop in ETH purchases by other treasuries since August.

Among some analysts, skepticism remains. For them, despite the energy deployed by BitMine, companies’ interest in Ethereum seems to be eroding. In fact, ETH is free-falling in institutional portfolios , and nothing guarantees that a single player, however aggressive, will manage to change the game.