Quick Takeaways:
- BitMine bought almost $200M in Ethereum this week during a market downturn.
- Mid-size ETH wallets continue selling as ETH trades near monthly lows.
- Tom Lee maintains that ETH could reach $12,000 or higher long term.
BitMine Expands Its Lead With Major ETH Purchases
BitMine strengthened its Ethereum position this week with nearly $200 million in new acquisitions. The firm already held the largest single ETH treasury and widened that lead further.
Lookonchain reported that BitMine bought 22,676 ETH from BitGo on December 6 for about $68.7 million. A day earlier, it acquired 41,946 ETH from FalconX and BitGo for roughly $130.8 million.
These purchases build on BitMine’s recent disclosure that it held 3.73 million ETH at the end of November. At current prices, the holdings exceed $11 billion.
Smaller ETH Wallets Continue Selling Into Market Weakness
The timing of the purchases is notable.
ETH has fallen over 10% during the month, currently trading close to $3,027.
On-chain metrics indicate that sized wallets, containing from 1 to 10,000 ETH, offloaded significant amounts close to the latest cycle high.
These wallets continue to offload tokens, adding pressure to the market. Large whales with more than 10,000 ETH have shown limited activity.
Their movement remains muted, with small distributions but no aggressive buying.
Despite the sale, BitMine remains confident. Its latest filings also confirm holdings of 192 BTC, an $882 million cash reserve, and a $36 million position in Eightco Holdings.
BitMine Now Dominates Corporate Ethereum Holdings
Strategy ETH Reserve data shows BitMine now owns more ETH than its next five corporate peers combined. This includes entities like SharpLink and even the Ethereum Foundation.
The firm is now the second-largest corporate crypto holder by total value.
Only Michael Saylor’s Strategy, which leads Bitcoin corporate ownership, sits ahead of it.
This dominant position highlights BitMine’s aggressive accumulation strategy.
The firm continues buying during dips, while many market participants remain cautious.
Tom Lee Foresees Robust Long-Term Prospects for ETH
Although there is a decline, numerous analysts continue to be hopeful about Ethereum. Among them is Fundstrat CEO and BitMine Chair Tom Lee.
Lee said ETH could climb to $12,000 if Bitcoin reaches $250,000. He pointed to historical correlations and growing demand for tokenized real-world assets. Lee also suggested ETH could go as high as $62,000 over time.
This scenario depends on Ethereum expanding its valuation ratio relative to Bitcoin.