TLDR
- BitMine added 138,452 ETH to its holdings in a single week, bringing total to 3.86 million.
- Ethereum ETFs experienced $1.4B in net outflows in November, showing weakened institutional demand.
- Despite market challenges, BitMine’s Tom Lee sees Ethereum’s long-term potential boosted by Fusaka upgrade.
- Large Ethereum inflows to Binance signal possible short-term price volatility.
BitMine Immersion Technologies, the largest corporate holder of Ethereum (ETH), has made a significant move in December, increasing its ETH holdings by 138,452 in just one week. This brings its total holdings to 3.86 million ETH, accounting for over 3.2% of Ethereum’s circulating supply. Despite the challenging market conditions, such as rising exchange inflows and significant ETF outflows, BitMine continues to aggressively accumulate Ethereum.
BitMine’s Confidence in Ethereum’s Future
Tom Lee, Chairman of BitMine, attributes the company’s increased acquisition of Ethereum to a range of factors. Lee believes that Ethereum’s recent upgrade, the Fusaka update, is a key catalyst. This upgrade improves scalability, security, and network efficiency, which Lee expects will positively impact Ethereum’s long-term value
Additionally, BitMine sees the broader economic environment as favorable, with the Federal Reserve potentially cutting interest rates, which may provide further support for Ethereum.
“We are now more than eight weeks past the October 10th liquidation shock event, a sufficient length of time to allow crypto to again trade on forward fundamentals,” said Lee. This statement highlights BitMine’s view that the worst of the market’s recent volatility has passed, and it is now focusing on Ethereum’s potential long-term growth.
Divergence in Market Sentiment
While BitMine remains optimistic, on-chain data suggests a more cautious outlook. There has been a notable increase in Ethereum deposits to Binance, with the exchange receiving 162,084 ETH on December 5, 2025. This marked the largest single-day inflow to the exchange since May 2023. Large inflows to exchanges are often seen as a precursor to potential selling pressure, as traders may transfer ETH to exchanges for liquidation.
Moreover, Ethereum-based ETFs have experienced substantial outflows. In November 2025, Ethereum ETFs saw a record $1.4 billion in withdrawals, marking the largest monthly outflow ever recorded.
The trend continued into December, with an additional $65.59 million leaving ETH-focused ETFs in the first week of the month. These outflows suggest that institutional investors are not as confident in Ethereum’s near-term performance, contrasting with BitMine’s continued accumulation.
BitMine’s Strategy in a Volatile Market
BitMine’s decision to increase its ETH holdings stands in stark contrast to the broader market sentiment, particularly among institutional players. The outflows from Ethereum ETFs indicate that many investors are pulling back, likely due to concerns about liquidity and market volatility
However, BitMine is undeterred by these signals and continues to aggressively acquire ETH. The company has set a target to control 5% of Ethereum’s total supply, and its recent purchases bring it two-thirds of the way to that goal.
While short-term volatility may persist, with exchange inflows indicating potential sell pressure, BitMine’s strategy is focused on Ethereum’s long-term potential. The company’s continued investments suggest confidence that Ethereum will see a favorable market shift once the current period of uncertainty passes.
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