Tom Lee says Ethereum bottom is hours away as BitMine drops $21 million on 4,800 ETH

Shares of Ethereum treasury companies dropped in Monday’s pre-market trading after ETH could not hold its record highs. BitMine, the world’s biggest Ethereum treasury company, fell more than 6% before markets opened. BitMine owns 1.26% of all ETH in circulation and has been leading the buying trend in the past two months, as per the reports.

Tom Lee Ethereum prediction

Tom Lee from Fundstrat said Ethereum will reach its lowest point, or bottom, in just a few hours. His prediction is based on analysis from Mark Newton, who said Ethereum is in a correction but will recover and rally toward new highs near $5,100. Around the same time, BitMine Immersion Technologies bought $21.28 million worth of Ethereum. That is 4,871 ETH tokens.

With this purchase, BitMine now holds 1.72 million ETH valued at $7.65 billion. Tom Lee has been right before. On August 19, he predicted Ethereum would fall to $4,075–$4,150 before bouncing back, and that happened. BitMine has been buying Ethereum since late June and now has the world’s biggest Ethereum corporate treasury, as reported by Benzinga.


The company is based in Delaware and said it has total crypto and cash worth $8.82 billion. In one single week, BitMine bought $2.2 billion in crypto, making it the second-largest crypto treasury after MicroStrategy’s Bitcoin holdings. Other big players are also buying. BlackRock purchased $314.9 million in Ethereum but reduced its Bitcoin holdings at the same time.

Institutional Ethereum buying

Corporate holdings of Ethereum went up 127% in July to 2.7 million ETH worth $11.6 billion. Now, 70 companies together own 4.3 million ETH, which is 3.6% of all Ethereum supply. BlackRock has been adding Ethereum 15 times faster than Bitcoin over the last month. ETH holdings grew 65%, while Bitcoin holdings grew only 4%, according to the report by Benzinga.

Ethereum ETFs now hold 6.5 million ETH. Around 80,000 ETH tokens are flowing in every day. Even a major Bitcoin whale switched, buying $128.32 million worth of Ethereum while selling some Bitcoin. Former U.S. President Donald Trump also bought in, reportedly adding $8.6 million worth of Ethereum and $10 million worth of Bitcoin.

BitMine is planning even bigger moves. It filed for an extra $20 billion stock offering, raising its total capacity to $24.5 billion. The company wants to use that money to buy more Ethereum and hopes to own 5% of all ETH supply, about six million tokens worth $22 billion. In August, whale demand for ETH increased. This pushed prices up 25% while Bitcoin’s price dropped 5.3%, as stated by Benzinga.

Data from CME shows Ethereum futures trading activity is rising along with its price, but Bitcoin does not show the same kind of institutional support. Earlier in August, Ethereum fell from $4,793 to $4,198 because whales, ETFs, and retail traders sold. But then it recovered and hit a new all-time high above $5,000.

Ethereum $500B milestone

Ethereum also became the fastest asset in history to reach a $500 billion market cap. It beat even Bitcoin’s earlier record and also some of the world’s biggest companies. Global Google searches for Ethereum are now the highest since 2021, even though social media posts about it are still mostly bearish. Technical charts show Ethereum is holding important support around $4,300, which means the uptrend is still strong, as mentioned in the report by Benzinga.

The Ichimoku cloud indicator shows bullish signals, and the RSI number at 54.04 means ETH is neutral and not overbought. Key resistance levels for Ethereum are $4,447.86, then $5,376.56, with a bigger target at $6,290: X/@CryptoGodJohn. Mark Newton said Ethereum’s bottom could form around $4,300 “within hours” before bouncing quickly to $5,100–$5,450: X-Mark Newton, as stated in the reports.

This would be a quick reversal, not a long pause, because institutions are buying heavily and supporting the price. Market data also shows strong trading volume, with both buying and selling happening, but institutional demand is keeping Ethereum more stable than retail-driven corrections. If Ethereum keeps holding above $4,300, it could quickly rise toward $5,100–$5,450, with $6,290 as the next big target, as reported by Benzinga.

FAQs

Q1. What did Tom Lee predict about Ethereum’s price?
Tom Lee said Ethereum will hit its bottom within hours and then recover toward new highs near $5,100, based on Mark Newton’s analysis.

Q2. Why did BitMine buy $21 million worth of Ethereum?
BitMine is growing its crypto treasury and now holds 1.72 million ETH worth $7.65 billion, making it the largest Ethereum corporate holder.