BTC Digital(BTCT) Soars 13.33% on Ethereum Reserve

BTC Digital(BTCT) surged 13.33%, marking its fourth consecutive day of gains, with a cumulative increase of 31.17% over the past four days. The share price reached its highest level since March 2025 today, with an intraday gain of 27.73%.

The strategy of buying BTCT shares after they reach a recent high and selling them one week later resulted in a significant loss. Over the past five years, the strategy had a return of -87.18%, with a benchmark return of -100.00% and an excess return of 12.82%. The strategy's CAGR was -68.83%, indicating a substantial decline in value. The Sharpe ratio was -0.41, and the maximum drawdown was 0.00%, which suggests that the strategy had a high risk of losing value.

On July 11, 2025, BTC Digital Ltd. (BTCT) announced the establishment of a $1 million strategic reserve in Ethereum (ETH). This move signifies a strategic shift from traditional crypto mining towards active participation in Ethereum's on-chain financial infrastructure, including decentralized finance (DeFi), stablecoin issuance, and asset tokenization. The decision was driven by Ethereum's robust position in stablecoin infrastructure, increased transaction volumes, growing institutional adoption, and upcoming network upgrades like the Pectra upgrade. This strategic initiative aligns with industry trends of diversifying portfolios to include Ethereum and underscores BTCT's commitment to innovation and future growth within decentralized financial systems.

BTC Digital's strategic shift towards Ethereum is a response to the evolving landscape of the cryptocurrency market. By diversifying its portfolio to include Ethereum, the company aims to capitalize on the growing demand for decentralized financial services and the increasing adoption of stablecoins. This move is expected to enhance BTCT's competitive position in the market and drive long-term growth. The company's focus on innovation and future growth within decentralized financial systems is likely to attract more investors and partners, further strengthening its market presence.