Saylor and Tom Lee Remain Bullish on Bitcoin and Ethereum Despite Mounting Losses in 2026
- Why Is Michael Saylor Still Buying Bitcoin at a Loss?
- Ethereum Whales Face Mounting Pressure
- 2026 Price Outlook: Contrarian Bets Pay Off?
- FAQ: Saylor and Lee’s Crypto Standoff
Despite billions in unrealized losses, Bitcoin maximalist Michael Saylor and BitMine CEO Tom Lee are doubling down on their crypto convictions. Saylor’s MicroStrategy now holds over 717,000 BTC at an average cost of $54.52 billion – currently worth just $49 billion – while BitMine’s 4.37 million ETH stash has seen its value drop from $15 billion to under $9 billion. Yet both executives argue these are temporary setbacks in their long-term crypto strategies. This article examines their contrarian positions, analyzes key on-chain metrics, and explores what their stubborn Optimism means for Bitcoin and Ethereum’s 2026 price trajectories.
Why Is Michael Saylor Still Buying Bitcoin at a Loss?
MicroStrategy’s latest earnings report revealed a staggering $12.4 billion net loss on its bitcoin holdings, with each BTC currently underwater by nearly $16,000 compared to their average purchase price. Yet Saylor continues tweeting diamond-hand memes, recently stating: "If it doesn’t go to zero, it’s going to a million." His confidence stems from three key beliefs:
1."We can refinance debt indefinitely," Saylor told investors, referencing MicroStrategy’s convertible bonds. Arkham Intelligence confirms the company faces no margin calls despite the drawdown.
2.The CEO framed BTC’s price swings as a feature, not a bug: "We dampen Bitcoin’s volatility to create STR digital credit. We amplify it to create MSTR digital equity."
3.Saylor maintains Bitcoin’s hash rate and adoption metrics justify holding through cycles. "The 90% crashes? We’ve seen them before," he shrugged during a February 10th Spaces session.
Ethereum Whales Face Mounting Pressure
While Bitcoin has reclaimed its April 2025 lows, ethereum continues hovering 35% above its last cycle bottom – and CryptoQuant analysts warn this relative strength may be fleeting. Their February data reveals:
- 1k-10k ETH wallets: -0.21 unrealized profit ratio
- 10k-100k ETH whales: -0.18 ratio
- 100k+ ETH holders (like BitMine): -0.08 ratio
"ETH hasn’t even tested its true support levels yet," noted DarkFrost, a pseudonymous CryptoQuant researcher. "If we break $1,800, the capitulation could be brutal."
Tom Lee’s BitMine holds approximately 4.37 million ETH acquired at an average $3,432 per coin – meaning their position turned profitable briefly during Ethereum’s August 2025 $4,946 peak before sinking underwater again. Yet Lee cites FundStrat research suggesting ETH’s "realized price" (average on-chain acquisition cost) now provides strong support around current levels.
2026 Price Outlook: Contrarian Bets Pay Off?
Both executives frame their holdings as multi-year bets:
| Asset | Current Price | Bull Case (2026) | Bear Case (2026) |
|---|---|---|---|
| Bitcoin | $68,200 | $150,000 | $48,000 |
| Ethereum | $2,840 | $3,284 | $1,650 |
"In crypto, you’re either early or wrong," Saylor quipped during a recent CNBC interview. "We bought early in 2020-2024. Now we wait." Lee echoed this patience, telling Bloomberg: "Ethereum’s merge, proto-danksharding, and L2 growth will compound – just not on Twitter time."
This article does not constitute investment advice.
FAQ: Saylor and Lee’s Crypto Standoff
How much Bitcoin does MicroStrategy own?
As of February 2026, MicroStrategy holds 717,131 BTC acquired for $54.52 billion (avg. $76,000/BTC). At current prices, this position is underwater by ~$16,000 per coin.
What’s BitMine’s Ethereum exposure?
BitMine’s treasury contains 4.37 million ETH worth approximately $9 billion today. Their average acquisition cost was roughly $3,432 per ETH.
Why aren’t these companies selling?
Both CEOs view their holdings as long-term corporate treasury assets rather than tradeable positions. Saylor has repeatedly stated MicroStrategy will "never sell," while Lee frames ETH as "the oil of Web3."
