Tom Lee Loses $5.8B on ETH – But Keeps Buying

 Bitmine, led by Tom Lee, holds the current ETH at a loss of $5.8B, having purchased at 3, 650. Although it is red, the company has also recently received an additional 40 M. Why is this a strategic move?

Bitmine has unrealized deficits totaling to $5.85B on its purchases of ETH at an average of about $3,650. The market price is near $2,300.

According to Arkham on X, purchasing has persisted. A wallet was actively transferring an amount of ETH to the tune of $46.04M in accordance with the current buying trend of Bitmine. The company purchased an additional 40 M of tokens.

Source: Arkham 

Bitmine is among the biggest institutional ETH bets. It has a long-term accumulation strategy without being afraid of changes in short-term prices.

Every Single Buy Remains Deep Red

Bitmine started making purchases in July, and none of these purchases has become green. The fund owns 243,765 ETH with 560 M unrealized losses. According to Coin Bureau, the average price per ETH exceeds the existing $2,300 price tag.

Source: Coinbureau 

The previous week, 41,788,788 ETH were purchased at an approximate price of 2,488, which resulted in a loss of 7.8M. The post-buy price continued to go down, which left the position underwater.

Unwavering investment of funds in a crumbling market is a sign of firm belief. Bitmine engages in dollar-cost averaging on an institutional level by reducing the average entry cost by a small margin per purchase.

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Analysts See Different Picture Emerging

According to market representatives, the macro indicators are favorable: ETH is on a long-term upward trend, the index of ISM is over 50, and the world liquidity is increasing.

According to 0xChainMind, these are the historically precursory fundamentals to robust ETH acceleration. There will be significant alt-season movement and a potential trend reversal, according to the analyst.

Source: 0xChainMind 

Bullish macro conditions are about to take place in the historical data, with increasing liquidity favoring risk assets. A manufacturing index that is over 50 indicates economic growth that can boost the crypto values.

Bitmine keeps its accumulation level, and it does not show any signs of capitulation; each acquisition strengthens its average-down strategy.

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