Bitmine Buys $43M in ETH, Gets 94% to 5% Supply Goal

Bitmine Immersion Technologies, the largest Ethereum treasury company, continues to accumulate Ether tokens despite the recent slowdown in the ETH price. The latest acquisition involves $43 million in ETH, pushing the Ethereum price higher.

As per the latest report, Bitmine has purchased more than 27K ETH tokens, bringing its total Ethereum holdings to 5.7 million. 

Bitmine’s 27K ETH purchase sends Ethereum price up

Bitmine, the largest public holder of ETH crypto, released an official press release, revealing its latest Ethereum purchase. As per the company’s confirmation, Bitmine bought 27,084 ETH, worth around $43 million, last week.

Following this announcement, the Ethereum price displayed a recovery from the recent lows. On Sunday, the Ethereum price soared to a five-day high of $1,630, marking a nearly 9% surge. While ETH has been trading in the red zone over the past few days, this surprising surge has invoked fresh optimism across the market.

Despite the spike, the Ethereum price soon plunged, reaching the current level of $1,582. Still, the token remains in the green zone, recording an uptick of about 1% on the day. On a long-term basis, however, the token has posted notable losses, plummeting by about 4% and 22% in a week and a month, respectively.

The current bullish momentum is also reflected in the traders’ sentiment. The 24-hour trading volume has increased by 52% to reach $11.66 billion. This indicates that the community is increasingly engaging with the token, driven by its positive momentum. Investors may be either buying more tokens, convinced about the Ethereum price’s future, or selling their holdings to lock in profits from the recent surge.

Bitmine Ethereum treasury nears 5% ETH threshold

With the latest ETH accumulation, the Bitmine Ethereum treasury has reached a total of 5.7 million Ether, worth about $8.9 million. This means that the company’s Ether treasury accounts for about 4.7% of the total ETH in circulation. Thus, Bitmine is now nearing its long-term goal of accumulating 5% of the ETH supply.

In addition to Ethereum, Bitmine also holds 206 Bitcoin, $555 million in cash, and marketable securities. The company also holds equity stakes in Beast Industries and Eightco Holdings. Thus, the Ethereum treasury firm altogether owns $9.8 million in investments.

It is worth noting that Bitmine’s latest purchase underscores the company’s commitment to its Ethereum accumulation strategy. Even during the crypto market crash and Ethereum price correction, the company continued to buy more tokens. In the official post, Bitmine CEO Tom Lee noted,

Ethereum price enters key demand zone; what does it mean?

According to market expert Ted, the Ethereum price has now returned to a strong demand zone. This means that the token is now at a price range where buyers have previously stepped in. Thus, the current level marks a pivotal zone for the altcoin.

Ted sees $1,500 as a key support level. If the token manages to stay above this mark, the Ethereum price could see a short-term surge. The analyst noted that ETH is poised for a “relief rally” in the coming weeks, if buyers show continuous interest. But if the ETH price fails to sustain this momentum, rising selling pressure could pull the crypto down.