BitMine Immersion Technologies continued its aggressive accumulation of Ethereum last week, purchasing 71,179 ETH for approximately $146 million. The acquisition brings the firm’s total holdings to 4,732,082 ETH, now valued at around $9.7 billion with ETH trading near $2,055. BitMine also holds 197 BTC worth roughly $13.2 million and maintains $961 million in cash reserves. The purchase came as rival crypto treasury firm Strategy paused its routine weekly Bitcoin buying.
BitMine Chairman Tom Lee pointed to the ongoing conflict involving Iran as context for crypto’s recent performance. “As the Iran war enters its 5th week, ETH and crypto outperformed the broader market,” Lee said in a statement. He argued that digital assets are proving to be a reliable store of value during periods of geopolitical tension, stating that “crypto is demonstrating itself to be a good ‘war time’ store of value.”
Recent market data supports Lee’s assessment of crypto’s relative strength. Ethereum has gained approximately 8% over the past month, while gold has declined nearly 13% in the same period. Major stock indices including the Dow Jones Industrial Average and the S&P 500 have each fallen more than 7%. Lee also noted that the inverse correlation between crypto and oil prices has reached its highest level in the past year, suggesting that uncertainty around oil price trajectories continues to weigh on both equities and digital assets.
Lee described the current environment as the final phase of a “mini crypto winter,” which he believes will “likely end when the upside risk to oil prices peaks.” He framed rising oil prices as a headwind for both equities and crypto until markets grow more comfortable with the future direction of energy costs. His comments suggest a cautiously optimistic outlook for digital assets in the near term, contingent on stabilization in commodity markets.
Strategy’s pause in Bitcoin purchases drew attention but is consistent with a historical pattern. The firm has previously halted weekly acquisitions during the final week of fiscal quarters, and last week’s break follows that same trend. Since beginning its Bitcoin accumulation strategy in 2020, Strategy has amassed 762,099 BTC, a position currently worth around $51.2 billion. The temporary halt is not considered an unusual signal by observers familiar with the company’s buying cadence.
Despite their substantial holdings, both firms are currently sitting on significant unrealized losses. According to data from Artemis Analytics, BitMine carries paper losses exceeding $7 billion on its Ethereum position. Strategy’s losses are somewhat smaller, estimated at around $6.2 billion based on figures from SaylorTracker. These losses reflect the broader decline in crypto asset prices from their respective peaks, with Bitcoin currently 46% below its all-time high and Ethereum down 58%.
Shares in both companies have moved modestly higher since Monday’s opening bell. BitMine’s stock, trading under the ticker BMNR, edged up slightly to around $18.40, while Strategy’s shares under ticker MSTR rose 0.6% to $126.80. Both stocks have nonetheless fallen more than 60% over the past six months, reflecting the sustained pressure on crypto-linked equities as the underlying assets remain well below their historical highs.
Originally reported by Decrypt.
