BitMine Nears 5% Ethereum Ownership Amid Strong Q3 Performance

BitMine is on the verge of owning 5% of all Ethereum, having already accumulated approximately 4.9% of the circulating supply. The company added 15,112 ETH last week, bringing its total holdings to about 6.016 million tokens, worth roughly $16.16 billion. BitMine Chairman Thomas Lee described this strategy as the "Alchemy of 5%," highlighting the company's persistent buying despite fluctuating market conditions.

While BitMine continues to build its Ethereum treasury, US spot Ethereum ETFs have seen significant outflows, totaling $138 million last week. This divergence in demand showcases how different investment channels are reacting to Ethereum's strong performance, which saw a 70% gain in the third quarter. Lee noted that Ethereum outperformed the S&P 500 by 6,832 basis points during this period, a notable achievement given the challenging macroeconomic environment.

Ethereum's recent rally has been accompanied by thinner market liquidity, with median liquidity now around 35%, 45% of Bitcoin's, compared to at least 60% in 2025. This reduced liquidity could lead to sharper price movements, amplifying both upside and downside risks. As of Monday, Ethereum held support near $2,657, with key resistance levels at $2,790, $2,880, and $3,066. The Relative Strength Index (RSI) remains near 59, indicating bullish momentum but easing from overbought conditions.

BitMine's strategy includes staking approximately 5.067 million ETH, or 84% of its holdings, through its Made in America Validator Network (MAVAN) and other staking partners. The company estimates annualized staking revenue of $363 million, although this figure is not guaranteed. Beyond Ethereum, BitMine holds 214 Bitcoin, a $180 million stake in Beast Industries, and a $117 million stake in Eightco Holdings, alongside $643 million in cash and marketable securities.