Major institutional players in the cryptocurrency space, Strategy and BitMine, have announced significant purchases of Bitcoin (BTC) and Ethereum (ETH) respectively, demonstrating a commitment to accumulation despite recent market turbulence.
Strategy, the largest institutional Bitcoin holder, purchased an additional 855 BTC between January 26 and February 1 for approximately $75.3 million. The company paid an average price of $87,974 per coin. As of February 1, Strategy's total Bitcoin holdings stand at 713,502 BTC, acquired at an average cost of $76,052 per coin. The firm's treasury, valued near $54.26 billion, was briefly pressured when Bitcoin's price fell below $75,000 over the weekend, pushing unrealized losses close to $1 billion before a recovery narrowed the deficit to around $150 million.
To fund its ongoing accumulation, Strategy has adjusted its capital structure, raising the dividend on its Series A Perpetual Stretch Preferred Stock to 11.25%. Sales from these shares have funded the purchase of more than 27,000 Bitcoin in recent months, with management signaling that purchases could continue into 2026.
On the Ethereum front, BitMine, described as the largest institutional Ethereum bull, added 41,788 ETH to its treasury last week. This purchase brings BitMine's total Ethereum holdings to 4.285 million ETH, representing approximately 3.55% of the circulating supply. The company also reported a significant increase in its staked Ethereum, with the total amount staked reaching around 2.9 million ETH—a jump of roughly 900,000 ETH in just the last week. BitMine's portfolio also includes 193 BTC and $586 million in cash.
The institutional activity extends beyond these two firms. Binance has begun converting its SAFU (Secure Asset Fund for Users) fund into Bitcoin, with an initial conversion of $100 million into 1,315 BTC. Approximately $900 million more is scheduled for conversion within the next 30 days. Concurrently, Binance is seeking regulatory approval, having filed for a MiCA license in Greece to secure EU-wide operations ahead of a July compliance deadline.
The market context for these purchases was a sharp decline over the weekend, with Bitcoin briefly falling below $75,000, testing key support levels and creating tension. Despite this volatility and a correlated drop in crypto-linked equities—Strategy's stock fell over 7% in pre-market trading—institutional demand appears resilient. Bitcoin has since recovered, trading near $77,792, with the broader crypto market capitalization around $1.57 trillion.
