BitMine May Slow ETH Buys After Amassing 4% Supply

BitMine Immersion Technologies may start slowing its purchases of Ethereum after accumulating more than 4% of the circulating ETH supply in less than a year. Chairman Tom Lee said the firm is approaching its goal of acquiring 5% of total ETH supply, a target it has called “the alchemy of 5%.”

Lee made the comments Thursday during a keynote at the Consensus crypto conference in Miami. He noted that the firm had expected the accumulation to take five years but achieved rapid progress by buying more than 100,000 ETH per week, worth around $230 million.

The company has gathered more than 5.18 million ETH valued at $11.9 billion. Lee indicated BitMine could reach the 5% threshold in about six weeks at the current pace and is considering a slower rate of buying.

Lee said the firm sees other opportunities in crypto and has diversified its activities. BitMine recently launched the Made in America Validator Network staking service and invested in MrBeast’s Beast Industries and Eightco, a publicly traded Worldcoin treasury and AI firm.

Shares of BitMine (BMNR) fell nearly 4% on Thursday to close at $22.01. The stock has gained 9% over the past month but remains 86% below its 52-week high of $161. Ethereum traded down 2.4% at $2,297, or 53.5% below its all-time high of $4,946.

Lee forecasted that BitMine shares could reach $5,000 if Ethereum rises to $250,000. He described the firm’s risk-reward profile as favorable given its positions in Ethereum, staking, and other initiatives.