Ethereum has fallen another 7% this week, extending its monthly losses to nearly 22%, now trading at around $1587. But while the price continues to struggle, Bitmine Chairman Tom Lee believes the recent decline has nothing to do with the ETH Price drop. Here’s why!
Despite this, Bitmine has continued buying Ethereum, bringing its holdings close to controlling 5% of the entire ETH supply.
Tom Lee Blames Quarter-End Selling, Not Ethereum Weakness
In a recent press release, Tom Lee said that the recent decline in Ethereum price is largely driven by “window dressing,” a quarter-end strategy where fund managers reduce exposure to assets that have performed poorly before the quarter ends.
“This past week was a challenging one for crypto investors as ETH fell by 7%,” explaining that such selling is common as institutional investors rebalance portfolios before quarterly reporting.
Ethereum has dropped nearly 22% over the past month, slightly worse than Bitcoin’s 19% decline.
Despite all, Lee believes the long-term outlook remains positive for the Ethereum price. According to him, Wall Street’s growing shift toward blockchain infrastructure, along with the rise of AI-powered payment systems, continues to strengthen Ethereum’s future.
Bitmine Keeps Buying Despite Ethereum’s Fall
While the Ethereum token price continues to fall, Bitmine is showing no signs of stopping, as they continue to buy more Ethereum.
Last week, the company purchased another 27,084 ETH, increasing its total holdings to 5,700,040 ETH, valued at nearly $9 billion. That now represents roughly 4.7% of Ethereum’s entire circulating supply, putting Bitmine just 0.3% away from its long-term goal of owning 5% of all ETH.
Lee remains confident that Ethereum’s long-term outlook is improving despite the current price weakness.
“We’re in a period where price is lagging fundamentals.” “Ethereum has gained additional assets.”
He pointed to growing real-world asset tokenization on Ethereum, increasing blockchain adoption, and the role Ethereum could play in powering both Wall Street’s digital infrastructure and future AI-based payment systems.
Whale Selling Keeps Pressure on ETH
Meanwhile, Crypto analyst Ali Martinez reported that Ethereum whales sold nearly 550,000 ETH, worth around $880 million, over the past week. The heavy selling pushed ETH below the important $1,633 support level.
According to Martinez’s analysis, Ethereum is now testing support around $1,583.
If buyers fail to defend that level, Martinez sees the next major demand zones near $1,237 and $1,089.
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