Bitmine buys 20,000 ETH worth $41.98M during a crypto crash, reinforcing Tom Lee’s bullish view on Ethereum fundamentals.
Despite a sharp crypto market crash, Bitmine added 20,000 ETH worth $41.98 million. The purchase was made just a few hours after heavy selling in the market. As a result, the move came as a surprise to traders who were observing continued downside pressure. However, the buy was a sign of confidence in increased uncertainty.
Ethereum prices fell close to 40% in the past 10 days. This drop put big holders under pressure throughout the market. In turn, Bitmine now suffers from unrealised paper losses estimated at between $6.6 billion and $8 billion. Still, the company opted for accumulation instead of caution.
Bitmine Expands Ethereum Holdings Despite Sharp Price Decline
Bitmine is still the largest corporate Ethereum treasury in the world. As of early February 2026, it has around 4.285 million ETH in its possession. This amount constitutes about 3.55% of the total supply of Ethereum.
What’s more, Bitmine has been actively deploying its staking operations with its holdings. The firm has staked more than 2.89 million ETH so far. This number is roughly 67% of all its Ethereum reserves. As a result, staking brings in around $188 million in annualized revenue.
Related Reading: Tom Lee’s BitMine Suffers $6.9B Ethereum Loss
Chairman Tom Lee expects stakeholder income to increase further. He projects rewards could reach $374m a year. This increase is dependent upon full deployment of the Made in America Validator Network in 2026. Therefore, Bitmine considers staking a revenue engine in the long term.
On-chain data is also in favor of Bitmine optimistic position. Ethereum recently hit record highs in terms of network activity. Daily transactions rose to 2.5 million with active addresses reaching 1 million. These metrics indicate an underlying strong demand despite falling prices.
Tom Lee referred to the recent pullback as an attractive entry point. He pointed to increasing network usage and validator participation. Therefore, Bitmine keeps buying during times of market fear. This way is a reflection of the long-term conviction rather than the short-term trading.
According to Lookonchain, the last ETH purchase came within hours of the downturn. The timing strengthened perceptions of strategic accumulation. Meantime, market sentiment was cautious overall as volatility prevailed. However, Bitmine’s move provided a counter signal.
Staking Strategy and On-Chain Growth Shape Long-Term Outlook
Bitmine focuses on staking to minimize idle asset risk. Staked ETH yield is consistent during price weakness. Additionally, validator expansion may help to increase network decentralization. Thus, Bitmine matches financial returns to ecosystem growth.
However, risks are still present if prices continue falling. Unrealized losses could blow up in extended downtrends. Even so, good cash flow from staking may compensate for volatility. This balance is beneficial for Bitmine’s long-term positioning strategy.
Overall, the latest purchase of Bitmine made it stand out in terms of confidence under crisis conditions. The move was in contrast to selling throughout the market. While the uncertainty of price is present, the basics of the networks are strong. Therefore, Bitmine is further betting on Ethereum’s growth in the future.
Source: https://www.livebitcoinnews.com/bitmine-accumulates-20000-eth-amid-crypto-crash-signals-bullish-stance/
