BitMine Increases Ethereum Holdings with $358 Million Purchase

• BitMine purchased $358 million worth of Ethereum and now holds nearly $8.7 billion in ETH. 

• Tom Lee compares Ethereum today to Bitcoin in 2017 and believes the altcoin is still in the early adoption phase. 

• ETH price jumped over 2% after the purchase announcement and outperformed the broader crypto market this month.

BitMine has significantly expanded its Ethereum treasury through a massive $358 million acquisition. The purchase has contributed to ETH’s recent price gains and reinforced the company’s position as the largest institutional Ethereum holder.

Major Ethereum Acquisition Details

According to Lookonchain data, BitMine executed substantial Ethereum purchases within 24 hours. The company received 14,665 ETH worth approximately $65 million from Galaxy Digital. Simultaneously, FalconX transferred over 65,000 ETH valued at $293 million to newly created wallets controlled by BitMine.

Source: Lookonchain

This recent acquisition brings BitMine’s total Ethereum holdings to 1,947,299 ETH, representing approximately $8.69 billion in value. The purchase follows a week of aggressive accumulation where BitMine added 153,075 ETH worth $668 million to its treasury.

BitMine’s strategy involved purchasing during market dips and capitalizing on lower prices to maximize acquisition volume. The company now holds 2.23 times more Ethereum than SharpLink Gaming, the second-largest institutional holder.

Strategic Vision Behind Ethereum Investment

Wall Street veteran Tom Lee leads BitMine’s Ethereum strategy and has been vocal about institutional undervaluation of the cryptocurrency. Lee recently compared Ethereum’s current position to Bitcoin’s in 2017, suggesting that altcoin remains in the early adoption phase while Bitcoin is experiencing broader institutional acceptance.

Lee describes blockchain technology as representing a “1971 moment for Ethereum,” referencing the United States’ departure from the gold standard. He believes ETH’s expanding role in payments and tokenization positions it for substantial growth potential.

The executive points to Federal Reserve policy decisions as additional market catalysts. Historical patterns show September rate cuts typically occur, with New York Federal Reserve President John Williams indicating potential rate reductions before the September FOMC meeting.

Ethereum’s price surged over 2% in the past 24 hours following BitMine’s purchase announcement. The gain extends a monthly rally of nearly 21%, outperforming the broader cryptocurrency market.

Institutional activity has driven significant inflows throughout 2025. Public companies and ETFs collectively added over 5 million ETH, representing more than $23 billion in institutional investment.

Ethereum staking activity has increased following the SEC clarification that liquid staking does not constitute securities. Over 35.6 million ETH is currently staked, locking approximately 30% of the total supply and reducing circulating tokens.

Technical analysis suggests ETH maintains healthy consolidation trends despite recent volatility. Some analysts warn that short-term resistance levels could trigger temporary pullbacks as the cryptocurrency seeks to regain upward momentum.