Ethereum Latest Updates: BitMine's Aggressive ETH Purchases Challenge Market Slump, Eyes $7,500 Recovery

Ethereum Faces Price Pressure as BitMine Immersion Ramps Up Accumulation

On December 1, 2025, Ethereum's value dropped below $2,800 amid heightened volatility across the cryptocurrency market. Despite these challenging conditions, BitMine Immersion Technologies pressed forward with its robust ETH acquisition plan. The company, under the leadership of Tom Lee from Fundstrat, recently purchased an additional $83 million in Ethereum, increasing its total holdings to 3.72 million ETH—representing 3% of the token's circulating supply. This move is part of Lee's broader ambition to secure 5% of all ETH in circulation, a target he reaffirmed even as Ethereum experienced a 22.3% decline in November and a further 8% decrease at the start of December.

BitMine's approach relies on raising capital through equity and utilizing staking rewards to manage expenses. The firm's treasury now includes 192 Bitcoin, a $37 million investment in Worldcoin (WLD) via Eightco Holdings, and $882 million in available cash. Lee attributes the recent downturn in ETH's price to the effects of quantitative tightening and remains optimistic, forecasting a recovery to $7,500 by the end of 2025, supported by favorable macroeconomic trends and the possibility of Federal Reserve rate cuts. Institutional investors have shown faith in BitMine's low-cost operating model, with ARK Invest acquiring 240,000 shares and Jim Kim holding a 1.1 million share stake.

Market Sentiment and Technical Outlook

Opinions among analysts and institutional investors remain split regarding Ethereum's short-term trajectory. While BitMine's aggressive buying signals confidence, on-chain metrics reveal that $228.6 million in futures positions were liquidated within a single day, with long positions accounting for $209.9 million of those losses. Ethereum is currently struggling to maintain support around $2,620 after failing to stay above $2,850, reflecting the broader market's instability. Nevertheless, expansion in Layer 2 solutions and the potential for a Federal Reserve rate cut by December 10 may provide the catalyst for a rebound. A modest 1% recovery in ETH's price is expected to result in a 1.88% increase in BMNR's stock value.

Spot Dogecoin ETF Debuts Amid Crypto-TradFi Integration

On the same day, Grayscale Investments launched its spot Dogecoin Trust ETF (GDOG) on NYSE Arca, marking the first U.S.-regulated spot ETF for Dogecoin. This milestone, alongside BitMine's ongoing ETH accumulation, highlights the deepening connection between the cryptocurrency sector and traditional finance. GDOG aims to attract both institutional and retail investors by providing direct access to DOGE, although overall sentiment in crypto fund flows remains cautious.

ETH Supercycle Predictions and Risks

Tom Lee's bullish outlook for Ethereum is anchored in the anticipated growth of stablecoins, tokenization of real-world assets, and increasing institutional involvement. He projects that ETH could reach $15,000 by 2025 and soar to $60,000 by 2030, fueled by a fifteenfold expansion in stablecoin and RWA markets. However, skeptics warn that delays in Ethereum's price recovery and persistent outflows from ETH-focused ETFs could pose significant risks, with some analysts suggesting the price could fall further to the $2,620–$2,640 range if downward momentum continues.

Looking Ahead

As the crypto market navigates ongoing uncertainty, BitMine's persistent accumulation and Grayscale's ETF initiatives underscore the sector's rapid evolution. The interplay between macroeconomic developments, adoption of Layer 2 technologies, and institutional staking activity will likely determine whether Ethereum's current downturn presents a buying opportunity or signals a more prolonged correction.