Bitmine’s $8.8B ETH Paper Loss Tests Ether’s Outlook Amid Slump
Unrealized losses at Bitmine Immersion Technologies are approaching $8.8 billion as Ether’s 60% drop over the past six months pressures corporate treasuries and tests the asset’s medium-term outlook, according to market analysts.
Data from third-party tracker Bitminetracker indicates Ether (ETH) is trading well below Bitmine’s average purchase price of $3,843 per token, placing the company among the largest corporate holders facing significant paper losses during the downturn.
Crypto research firm 10x Research said Ether is now near valuation and cost-basis thresholds that will determine whether recent weakness remains cyclical or signals deeper structural challenges for the asset.
Despite the drawdown, Bitmine continued to add to its Ether holdings. Last week, the company acquired 45,749 ETH at an average aggregate cost of $1,992 per token, indicating ongoing conviction in its treasury strategy.
Source: 10x Research
Large institutional investors have maintained exposure to Bitmine through the downturn. The 11 largest shareholders — including Morgan Stanley, Ark Investment Management and BlackRock — increased their positions in the company during the fourth quarter of 2025.
Bitmine’s shares have declined about 59% over the last six months and were trading at $19.68 in pre-market activity on Monday, according to Google Finance.
Corporate Ether treasuries face rising unrealized losses
Other major corporate Ether holders are also contending with mounting paper losses. SharpLink Gaming, the second-largest Ether treasury firm, is facing a $1.4 billion unrealized loss as ETH trades below its average cost basis of $3,609, according to the company’s dashboard.
ShaprLink Gaming, ETH holdings, cost basis and staking rewards. Source: Sharplink
The Ether Machine, the third-largest corporate holder, is nearing $948 million in unrealized losses. It accumulated 496,712 ETH — currently valued at about $950 million — at an average price of $3,788, according to CoinGecko.
‘Smart money’ net shorts $67 million in ETH as whales ramp up spot buying
Top-performing crypto traders tracked as “smart money” increased bearish bets on Ether. Over the past 24 hours, they added $1.48 million in short positions and were net short $67 million on ETH, according to crypto intelligence platform Nansen.
At the same time, large holders have accelerated spot accumulation. Whales boosted their pace by more than sixfold over the past week, adding $44 million in spot ETH across 41 wallets, Nansen data showed.
Newly created wallets over the past 15 days purchased $245 million worth of spot ETH, which may indicate that recent market entrants are net buyers.
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