Bitmain has expanded its Ethereum holdings this week with approximately $200 million in new purchases, solidifying its position as the largest single holder of the asset.
This move came as ETH is trading at a one-month low, following a steady distribution period by mid-sized wallets.
Bitmain acquisition…small ETH holders liquidate
Lookonchain reported, citing Arkham Intelligence, that Bitmain purchased approximately 22,676 ETH for about $68.7 million from Bitgo on December 6. The transaction suggests an average purchase price of about $3,028.
Notably, the company had already purchased 41,946 ETH for approximately $1.38 billion from FalconX and Bitgo a day prior.
These transactions are based on the information disclosed last week that Bitmain holds 3.73 million ETH as of November 30. At current prices, the value of these holdings exceeds $11 billion.
Bitmain also reported holdings of $360 million from Eightco Holdings in 192 BTC and $880 million in cash.
Strategic ETH reserve data shows that the company now holds more ETH than the next five competitors, including Sharplink and the Ethereum Foundation.
The scale of these holdings positions Bitmain as the second-largest corporate cryptocurrency holder, following Strategy, led by Michael Saylor, the largest Bitcoin holder.
Recent purchases were made during a bearish period for ETH. BeInCrypto data shows that the token has fallen by more than 10% over the past month to around $3,027.
Alfrectal's Ethereum cumulative heatmap indicates that wallets holding between 1 and 10,000 ETH have sold off in large quantities near the recent peak of this cycle. These addresses continue to sell tokens, adding pressure to the market.
However, large whales holding more than 10,000 ETH show limited activity, with light distribution but no strong accumulation.
Despite the bearish trend, several analysts maintain a positive outlook in the long term.
Fundstrat CEO and Bitmain chairman Tom Lee stated that if Bitcoin rises to $250,000, Ethereum could reach $12,000, citing the historical relationship between the two assets and the growing demand for real-world token assets.
He also added that as the valuation ratio of Bitcoin increases over time, ETH could rise to as much as $62,000.
