BitMine Immersion, the world's largest Ethereum treasury firm, is facing a substantial $3.5 billion unrealized loss on its massive ETH holdings. The loss stems from a 40% price dump in Q4 2025, with ETH consolidating between $2,600 and $2,750. The firm, chaired by vocal Ethereum bull Tom Lee, originally invested $14.6 billion to acquire 3.7 million ETH, betting on tokenization and the stablecoin boom as long-term tailwinds.
Despite the paper loss, BitMine has continued to scale its position. In a recent move, the company purchased an additional 67,886 ETH worth approximately $201 million, pushing its total holdings past the 4 million ETH mark. This represents over 3% of the total ETH supply and solidifies BitMine as a major institutional holder. Chairman Tom Lee called surpassing 4 million ETH "a tremendous milestone."
Other distressed ETH treasuries, such as SharpLink and ETHZilla, have not shared this conviction, having been forced to dump their holdings and abandon their ETH strategies altogether. Experts had warned that if more firms followed suit, the bear market could worsen without acquisition by major players. Currently, treasury firms collectively rival ETFs and own 5.6% of the total ETH supply.
Contrasting the DAT distress, broader institutional and whale accumulation has surged. Liquid Capital founder Jack Yi confirmed his firm purchased $1.72 billion worth of ETH after the asset dipped to $2,600 in November, with plans to acquire another $1 billion. He warned bears, "We strongly advise against shorting. Undoubtedly, this will be a historic opportunity." Data from CryptoQuant shows the pace of accumulation by whales holding 10,000 to 100,000 ETH has been massive in 2025, with this cohort holding over 21 million ETH at press time.
From a valuation perspective, analysis suggests ETH is currently undervalued. Out of 10 key metrics tracked by ETHVal, seven flashed a "buy" signal, placing a fair value at $4,200—suggesting a 45% upside potential from the current price of around $2,900. The model has a track record of accuracy, having correctly projected moves from $1,500 to $2,500 in May and from $2,500 to $3,600 in July of 2025.
