📈 BitMine's purchase of ETH this week
📌 According to on-chain data, BitMine Immersion Technologies has purchased at least US$ 229.31 million in Ethereum (ETH) in the last week, including a recent acquisition of 30,075 ETH (~88.7 million USD) from the FalconX platform.
💡 This amount adds to other purchases that the firm had already been making in previous weeks, as part of an aggressive accumulation of ETH even in a bear market.
🧠 Who is BitMine Immersion?
BitMine Immersion Technologies (BMNR) is a publicly traded company on NYSE American whose main focus is to accumulate ETH and other cryptocurrencies as part of its corporate treasury, led by Tom Lee (founder of Fundstrat).
👉 According to recent data, BitMine already controls a significant part of the Ethereum supply (more than 3% of the total circulating) thanks to accumulated purchases over the months.
🚀 Why are they doing this?
📌 1. Long-term treasury strategy
BitMine is accumulating ETH as a strategic reserve asset, similar to how some companies accumulated Bitcoin in previous years. This suggests a long-term conviction in Ethereum as a base layer for decentralized finance, infrastructure, and staking.
📌 2. Staking and yield potential
Having large holdings of ETH allows BitMine to participate in staking whenever they wish, which can generate recurring income from network rewards — an additional incentive to maintain large balances.
📌 3. Institutional bet on crypto
Purchases of this size reflect serious institutional interest in the Ethereum ecosystem, even when the price is consolidating or bearish. This trend may influence how institutional investors perceive the supply of ETH compared to other assets.
📊 What impact does this have on the market?
📌 🔹 Effective reduction of available supply
When BitMine acquires significant ETH and holds it in treasury, that amount comes out of the normal market liquidity. Theoretically, this could exert upward pressure on the price in the medium/long term if demand remains or grows.
📌 🔹 Institutional trust signal
That a public firm uses part of its balance to buy ETH for hundreds of millions reinforces the idea that some major players see long-term value in Ethereum beyond a speculative trend.
📌 🔹 It may influence sentiment
Large purchase movements often attract the attention of other whales or funds that follow these flows as a confidence indicator, although they do not guarantee automatic price increases.
⚠️ Limitations and risks
✔ Buying ETH for hundreds of millions does not guarantee that the price will rise immediately — especially in highly volatile markets.
✔ BitMine's action (BMNR) may react independently to crypto due to the market perception of stocks, leverage, or the financial conditions of the company itself.
✔ Large accumulations can reduce liquidity in the short term, which can also lead to greater volatility.
