Hedge Fund BitMine Bolsters ETH Holdings, Controls 2.5% of Total Supply
- Ethereum’s price resilience above key moving averages suggests a long-term bullish outlook.
- BitMine Immersion significantly expanded its ETH reserves to over 3.03 million tokens during a recent market dip.
- A sentiment shift to Greed (65%) indicates growing optimism within the crypto market.
Ethereum experienced a notable price increase of over 1.52% on October 10th, reaching $4,230. This surge served as a relief rally following a sharp sell-off the previous Friday, which triggered historically large liquidations across the cryptocurrency market. While many retail investors faced panic, seasoned institutional players saw this as an opportune moment to acquire assets at reduced prices.
As the Ethereum price tested the $3,500 support level, BitMine Immersion, an Ethereum treasury firm, strategically increased its holdings by purchasing 202,037 ETH tokens. This move underscores the company’s confidence in Ethereum’s long-term potential despite prevailing market volatility.
BitMine’s Dominant Position in Ethereum Reserves
BitMine Immersion Technologies recently announced a substantial expansion of its cryptocurrency reserves, with its Ethereum (ETH) holdings now exceeding 3.03 million tokens. This substantial acquisition positions the company as the owner of approximately 2.5% of the total ETH supply. As of October 12, 2025, BitMine’s combined crypto, cash, and equity assets are valued at $13.4 billion.
The firm’s updated balance sheet also details holdings of 192 Bitcoins (BTC), a $135 million investment in Eightco Holdings (NASDAQ: ORBS) categorized as moonshots, and $104 million in cash. With these assets, BitMine asserts its claim to the world’s largest Ethereum treasury and the second-largest overall crypto treasury, closely following MicroStrategy’s Bitcoin-centric holdings.
Chairman Thomas Tom Lee highlighted the firm’s strategy of leveraging recent market fluctuations to expand its Ethereum position. He stated, The crypto liquidation over the past few days created a price decline in ETH, which BitMine took advantage of. We acquired 202,037 ETH tokens over the past few days, pushing our ETH holdings to over 3 million, or 2.5% of the supply of ETH.
Growing Institutional Support and Trading Volume
BitMine continues to attract backing from prominent figures and firms within the finance and digital asset sectors. Notable supporters include ARK Invest (Cathie Wood), Founders Fund, Pantera Capital, Kraken, Galaxy Digital, DCG, Bill Miller III, and individual investor Tom Lee. This broad base of support validates BitMine’s strategic direction and market position.
Beyond its expanding portfolio, BitMine’s stock has emerged as one of the most actively traded securities in the U.S. According to Fundstrat data, the stock has averaged $3.5 billion in daily trading volume over the past five days. This places BitMine as the 22nd most-traded U.S.-listed equity, positioned between Coinbase and UnitedHealth. Collectively, BitMine and MicroStrategy now represent 88% of global digital asset treasury trading volume, demonstrating their significant influence on public market crypto exposure.
The Ethereum Supercycle Thesis
In his October Chairman’s Message, which included remarks from his keynote at Token2049 in Singapore, Lee introduced the concept of an Ethereum Supercycle. This thesis posits a period where Ethereum’s fundamental value is expected to increase, driven by growing demand from Artificial Intelligence (AI) and traditional finance sectors. Lee elaborated, Volatility creates deleveraging, and this can cause assets to trade at substantial discounts to fundamentals, or as we say, ‘substantial discount to the future,’ and this creates advantages for investors, at the expense of traders.
BitMine draws a parallel between the current evolution of digital finance and the collapse of the Bretton Woods system in 1971. The company suggests that legislative initiatives like the GENIUS Act and regulatory projects such as the SEC’s Project Crypto could profoundly reshape the financial ecosystem, much like historical monetary shifts.
💡 Lee reiterated the company’s ambitious objective: to achieve the alchemy of ‘5%’—meaning to hold five percent of the total Ethereum token supply. This goal signifies BitMine’s deep commitment to Ethereum as a foundational asset within its treasury strategy.
At the time of reporting, Ethereum was trading at $4,230, showing a renewed recovery trend since the previous weekend.
Expert Summary
BitMine Immersion has significantly increased its Ethereum holdings, now controlling a substantial 2.5% of the total supply. This strategic move, coupled with growing institutional interest and a positive market sentiment shift, highlights confidence in Ethereum’s long-term prospects amidst market volatility.