Ethereum News Today: BitMine's Underwater ETH Bet: High-Stakes Play on 2026 Bull Run

BitMine Immersion Technologies has intensified its commitment to Ethereum, acquiring $70 million worth of ETH over three days as part of its strategy to secure 5% of the cryptocurrency's total supply. The company, now the largest ETH digital asset treasury firm with $10.48 billion in holdings, [purchased 23,773 ETH](https://coinengineer.net/blog/massive-eth-purchase-by-bitmine-tom-lee-updates-his-bitcoin-forecast/) through two major transactions: 16,693 ETH for $50.1 million on Saturday and 7,080 ETH for $19.8 million on Monday. This follows a $272.3 million ETH acquisition in the preceding week, bringing BitMine's total holdings to 3.726 million tokens, albeit at an average cost of $3,008 per ETH, which remains underwater amid current market conditions [according to analysis](https://www.fxleaders.com/news/2025/12/02/bitmine-buys-70m-in-eth-as-tom-lee-delays-bitcoin-all-time-high-call/).

The move underscores BitMine's long-term bullish stance on Ethereum, which analysts attribute to broader macroeconomic and technological factors. A Seeking Alpha report [highlights that Ethereum's high-beta nature](https://seekingalpha.com/article/4847723-3-reasons-why-bitmine-will-follow-ethereums-rally) could drive growth ahead of the Fed's December 2025 rate-cut meeting, where a 25-basis-point reduction is now priced at 67.3% probability. Additionally, [surging Layer 2 ecosystem activity](https://seekingalpha.com/article/4847723-3-reasons-why-bitmine-will-follow-ethereums-rally), including rising Total Value Locked (TVL), is strengthening trust in smart contracts and Ethereum's utility. Jeff Dorman of Arca, however, [argues the recent crypto selloff](https://cointelegraph.com/news/bitmine-buys-eth-tom-lee-shifts-bitcoin-all-time-high-prediction-january) lacks concrete fundamentals, noting that major institutions like Vanguard and State Street face liquidity barriers in onboarding crypto products.

BitMine's chairman, Tom Lee, [has revised his Bitcoin price forecast](https://www.fxleaders.com/news/2025/12/02/bitmine-buys-70m-in-eth-as-tom-lee-delays-bitcoin-all-time-high-call/), shifting from a $250,000 target by year-end 2025 to a potential all-time high by January 2026. In a CNBC interview, Lee tied Bitcoin's trajectory to equity market recovery, emphasizing that institutional liquidity constraints are delaying broader adoption. This aligns with BitMine's own thesis, [which posits that a 1% ETH rebound](https://seekingalpha.com/article/4847723-3-reasons-why-bitmine-will-follow-ethereums-rally) could translate to a 1.88% increase in the company's stock, BMNR.

Despite these optimistic signals, risks persist. [The Seeking Alpha analysis warns](https://seekingalpha.com/article/4847723-3-reasons-why-bitmine-will-follow-ethereums-rally) that if Ethereum fails to recover by year-end 2025, prices could dip to $15.5–$20 per token due to technical indicators. Meanwhile, [Dorman's critique of exaggerated sell-off narratives](https://cointelegraph.com/news/bitmine-buys-eth-tom-lee-shifts-bitcoin-all-time-high-prediction-january)-such as unfounded claims about MicroStrategy or Tether-highlights the market's susceptibility to misinformation.

BitMine's aggressive accumulation strategy, coupled with institutional hesitancy and macroeconomic uncertainty, reflects a market at a crossroads. While the company's actions signal confidence in Ethereum's deflationary potential during high network demand, the path to a sustained bull run remains contingent on regulatory clarity and infrastructure development for institutional players [according to market analysis](https://www.fxleaders.com/news/2025/12/02/bitmine-buys-70m-in-eth-as-tom-lee-delays-bitcoin-all-time-high-call/).