Bitmine Faces $6.9B Unrealized ETH Losses After Sharp Market Slide

TLDR

• Bitmine is facing over $6.9 billion in unrealized losses on its Ethereum holdings.
• The value of Bitmine’s Ethereum portfolio has dropped from $15.7 billion to $9.2 billion.
• Ethereum fell to as low as $2,166 after a sharp sell-off in the crypto market.
• Over $485 million in ETH long positions were liquidated on January 31.
• Trading volume for Ethereum spiked above $55 billion within 24 hours.

Bitmine is currently facing over $6.9 billion in unrealized losses on its Ethereum holdings, as per Dropstab data. The crypto firm holds about $9.2 billion in ETH, down from a total investment of $15.7 billion, reflecting a 41% drop. Ethereum has recently fallen to seven-month lows, triggering sharp reactions across investor and market analyst communities.

Ethereum Dips Below $2,200 Following $485M Liquidations

Ethereum declined sharply from above $3,000 earlier in the week, hitting a low of $2,166 by January 31. According to CryptoQuant, long liquidations on Ethereum totaled over $485 million that day. The price drop occurred during a market-wide correction that erased nearly $500 billion from total crypto market value.

ETH is currently trading near $2,200, down 23% in seven days and nearly 28% in the last month. CoinGecko reports 24-hour ETH trading volumes surged 7.30%, topping $55 billion. This rise in volume indicates increased selling pressure and liquidation of leveraged positions.

Some large ETH holders are reacting to the volatility by shifting funds between wallets and exchanges. Lookonchain reported that Trend Research transferred 33,000 ETH to Binance, repaying Aave loans. At the same time, other large players acquired over 30,000 ETH via OTC desks within hours.

Market behavior shows disagreement among institutional investors about Ethereum’s short-term direction. While some whales are exiting, others appear to be accumulating during the decline. Liquidity stress and uncertain sentiment continue to influence rapid shifts in trading activity.

Bitmine’s Unrealized ETH Losses Draw Market Attention

Bitmine now holds ETH worth $9.2 billion, with losses of over $6.9 billion remaining unrealized. These figures reflect a steep decline from its original ETH investments totaling $15.7 billion. The loss coincides with broader weakness across the crypto sector, especially in large-cap assets.

Investor Karol Kozicki criticized Tom Lee’s bullish ETH predictions as disconnected from reality. On January 30, Kozicki referenced Lee’s earlier target of $7,000–$9,000 per ETH by January. At present, ETH remains far below that forecast, hovering around $2,200.

Another post by a user named Shah suggested Lee would need $7,000 ETH to break even. The user claimed any attempt to sell would move the market. Though the post attracted criticism, it raised concerns over exit risks during periods of low liquidity.

Bitmine has not issued any public comment regarding its ETH portfolio performance. On-chain data continues to show mixed positioning among comparable institutional holders. Meanwhile, market observers continue watching large addresses for signals of further stress or accumulation.

Forecast Gaps Widen as Institutional Predictions Face Scrutiny

Fundstrat co-founder Tom Lee earlier maintained Ethereum could hit $9,000 by the end of January. That projection has now come under public review due to ETH’s steep fall. Bitcoin also missed his target, reaching only $75,000 versus the predicted $180,000.

Lee has attributed crypto volatility to an October 2025 deleveraging event, which he believes disrupted market structure. He previously stated that this event increased risk and market swings across digital assets. Nonetheless, current price actions contradict his near-term optimism.

Lee continues to describe Bitcoin as “digital gold,” promoting long-term value over short-term swings. However, that argument appears tested under current market pressures. Both ETH and BTC have underperformed compared to Lee’s public targets.

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