Ether's Big Buyer: BitMine Keeps Piling Up

BitMine Immersion Technologies has been on a shopping spree for Ether (ETH), the second-largest cryptocurrency by market cap. Last week, they added a whopping 110, 288 ETH tokens to their collection, which is worth nearly $400 million at current prices. This brings their total ETH holdings to over 3. 5 million tokens, making up about 2. 9% of the total ETH supply. But why are they buying so much ETH? Well, BitMine's chairman, Thomas Lee, sees the recent dip in ETH prices as a golden opportunity to buy more. He's not alone in this thinking, but many other firms have been struggling to raise fresh funds for purchases. Some have even stopped buying or started selling off their crypto holdings as their stock prices have taken a hit. BitMine, however, seems to be doing just fine. They've increased their unencumbered cash balance to $398 million, up $9 million from the previous week. Their shares also traded over 5% higher at around $42. 40 shortly after the market opened on Monday, while ETH rallied to $3, 600, up 6% from Friday. It's worth noting that BitMine's stock has also fallen over 30% from early October, but they've still managed to add around 675, 000 ETH to their balance sheet, worth over $2. 4 billion at current prices. This makes them the second-largest crypto treasury with $13. 2 billion overall holdings, trailing only Michael Saylor's Strategy. So, what's the takeaway here? BitMine is betting big on ETH, and they're not letting a little dip in price stop them. They're also managing to increase their cash balance and stock price, which is more than can be said for many other firms in the crypto space.