Bitmine’s $7.5B Ethereum Bet Turns Sour: Portfolio Dips Below Cost Basis

Mining giant Bitmine faces a brutal reality check as its massive Ethereum position slips underwater. The $7.5 billion portfolio—once a crown jewel—now trades below its acquisition price.

The Unraveling

Market volatility hammers Bitmine's strategic ETH holdings. What looked like genius positioning now tests investor confidence as paper gains evaporate.

Portfolio Pressure

That $7.5 billion figure stares back like an unblinking auditor. Turns out even crypto whales can misjudge market tides—who knew?

Another reminder that in crypto, today's visionary bet can become tomorrow's regulatory filing footnote.

BitMine’s ETH Play Falls Below Cost Basis

According to top analyst Maartunn, Ethereum’s correction has placed one of the market’s largest institutional holders under heavy pressure. BitMine’s ETH portfolio, valued at roughly $7.5 billion, has just dipped below its on-chain cost basis around the $4,000 level. This development underscores the severity of the recent downturn and highlights that even large-scale players are not immune to the pain of corrections.

Maartunn emphasizes that this stage of the market is less about timing the perfect entry or exit and more about endurance. As he put it, “It’s about who can hold their breath the longest.” The remark reflects a broader sentiment among analysts who view the current environment as a psychological test for both retail and institutional investors. With volatility high and sentiment deteriorating, the ability to withstand drawdowns may determine who ultimately benefits from the next phase of Ethereum’s cycle.

The outlook remains divided. Optimists argue that this is a necessary pullback before ethereum gears up for a massive leg higher, supported by growing institutional adoption and strong long-term fundamentals. On the other hand, cautious voices warn of a deeper correction, noting that breaking below critical support levels could trigger further downside.

The coming weeks will likely prove decisive. If ETH can stabilize above the $3,800–$4,000 range, confidence may return quickly. However, if selling pressure intensifies, the market could face an extended period of uncertainty before momentum rebuilds.

Bulls Struggle To Find Support

Ethereum (ETH) has broken below the critical $4,000 level, now trading around $3,891, as shown on the 12-hour chart. This decline marks a continuation of the bearish trend that started after the September peak NEAR $4,950. The breakdown has been accompanied by rising trading volume, confirming strong selling pressure and suggesting that bears currently dominate the market.

The 50-day EMA has crossed below the $4,400 zone, reinforcing near-term weakness, while the 200-day EMA around $3,650 now acts as the next major support level. The price action shows a decisive rejection from the $4,600–$4,800 resistance range earlier this month, followed by a steep selloff that erased more than 20% of ETH’s value.

If ETH holds above the $3,850–$3,900 zone, it could attempt a rebound and retest the $4,200 resistance. However, failure to defend this range risks further downside toward $3,650–$3,700, where the 200-day EMA and previous accumulation levels converge.

Ethereum is in a corrective phase, but the volume spike suggests potential exhaustion of sellers. The coming sessions will determine whether bulls can reclaim $4,000 to stabilize momentum or if further capitulation is ahead.

Featured image from Dall-E, chart from TradingView