Ethereum Price Holds Around $2,908 as Bitmine Adds ETH

The price of Ethereum climbed a fraction of a percentage in the past 24 hours to trade at $2,908 after Bitmine revealed another significant increase in its Ethereum holdings during the last week of January, adding to a growing trend of large-scale ETH accumulation by institutions and corporations.

According to a recent press release, the digital assets company, chaired by market strategist Tom Lee, purchased 40,302 ETH last week, bringing its total cryptocurrencies and liquidity to approximately $12.8 billion as of January 25.

This purchase follows a similar acquisition a week earlier, when Bitmine purchased 35,268 ETH. In total, the company now holds approximately 4.2 million ETH, as well as 193 Bitcoin, and maintains $682 million in cash reserves. Bitmine’s Ethereum holdings represent approximately 3.52% of the total circulating supply of ETH. Of this amount, more than 2 million ETH are currently at stake.

Tom Lee highlighted the scale of Bitmine’s staking operations, stating that the company has staked more ETH than any other entity in the world. Once all of Bitmine’s ETH is fully staked through MAVAN and its partners, the company expects to earn approximately $374 million per year in staking rewards, based on a CESR of 2.81%. This translates to over $1 million in daily staking fees.

Bitmine increases its stake in Ethereum

Beyond crypto assets, Bitmine also holds strategic equity investments. These include a $200 million stake in Beast Industries, the company behind YouTuber MrBeast, and $19 million allocated to high-risk “moonshot” investments. Tom Lee previously explained that MrBeast’s investment aligns with Bitmine’s goal of driving broader adoption of Ethereum.

Despite the massive accumulation of ETH, Bitmine (BMNR) stock declined following the announcement. BMNR is trading around $28.52, reflecting broader weakness in the crypto market, as Bitcoin and Ethereum face selling pressure. Ethereum has fallen below the key $3,000 support level and is trading near $2,900, erasing its year-to-date gains.

Meanwhile, the accumulation of Ethereum whales continues. Recent on-chain data shows new wallets buying tens of thousands of ETH, while institutions like World Liberty Financial have moved funds from Bitcoin to Ethereum, signaling strategic shifts underway toward ETH despite near-term price weakness.

Ethereum eyes recovery after testing major support at $2,880

Ethereum price signals stabilization after a recent decline below the key psychological level of $3,000. The chart shows ETH trading at $2,906, reflecting a modest 0.31% increase over the past 24 hours, as traders closely monitor the cryptocurrency’s next directional move.

Analysis of the 4-hour chart highlights a critical major support level near $2,880, which has held multiple times over the past month. A bounce from this level suggests buyers are stepping in to defend the price, creating a potential reward zone for short-term upside moves.

Traders are eyeing a possible rally towards the resistance zone around $3,300 to $3,350, which aligns with previous highs and represents the target price for bullish momentum. The chart also reveals a rounded bottom pattern, which formed in early January and indicates a buildup and potential reversal from bearish to bullish sentiment.

If this pattern plays out, ETH could test the upper end of the reward zone, providing traders with a favorable risk/reward setup.

ETHUSD chart analysis. Source: Tradingview

The Relative Strength Index (RSI) is currently reading 43.95, which shows that ETH remains slightly below neutral territory but has started to trend upward from the oversold region. This indicates that the downward pressure may ease and momentum may gradually shift in favor of buyers if volume supports the move.

Despite its short-term weakness, Ethereum continues to attract attention from institutional investors and whale activity has intensified, a sign of confidence in the medium and long-term outlook. However, traders are cautioned that failure to hold support near $2,880 could open the door to further declines, and potentially a retest of $2,800 or below.

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