BitMine’s Ethereum Buy-Up Sparks Recovery Toward $1,700
Ethereum (ETH) is showing signs of recovery after a period of intense selling pressure that drove prices down to the crucial $1,500 support level. The recent market downturn saw ETH drop significantly, but it has since begun to rebound, approaching the key $1,700 resistance level. Institutional buyers, including BitMine Immersion Technologies, have played a significant role in this recovery.
BitMine capitalized on the market dip by making its largest weekly ETH purchase of the year, acquiring 126,971 ETH. This massive buy-up brings the company’s total ETH reserves to 5.54 million tokens, valued at approximately $9.04 billion. This stockpile represents nearly 4.59% of Ethereum’s entire circulating supply. Company Chairman Tom Lee revealed that 4.7 million of these tokens are actively staked, generating around $230 million in annualized staking rewards, demonstrating strong long-term confidence in the asset.
The institutional support helped buffer ongoing market liquidations, pushing ETH prices up by roughly 1.4% over a 24-hour window. ETH now trades within a tight range of $1,656 to $1,713, with a localized rally reaching a high of $1,691. Additionally, US spot Ethereum ETFs experienced a positive shift, pulling in $82.37 million in net daily inflows after a challenging May. However, to challenge higher targets like $1,875, ETH must consistently close above $1,715.
Analysts suggest that Ethereum is currently trading below its 0.8 MVRV valuation band, historically a prime accumulation zone. Ali Charts noted this as a high-probability, long-term buying opportunity. Meanwhile, a TD Sequential buy signal on daily charts hints at seller exhaustion. Analysts caution that holding the $1,500 support line is crucial to preventing a deeper drop toward $1,000.
Technical indicators remain mixed, with the daily MACD at -146.09, indicating bearish control, and the Ultimate Oscillator at -46.207, suggesting recent lows are still frequent. To reverse the trend, buyers need to defend the immediate support at $1,650. If this level breaks, downstream supports at $1,580 and $1,505 will be tested.