BitMine Buys More ETH as Trump Prepares to Meet China on Tariffs

**Tom Lee Sees Buying Opportunity as Crypto Markets Face Volatility and $1B in Liquidations**

Tom Lee, chairman of crypto investment firm BitMine, has described the recent crypto market decline as a “golden buying opportunity.” His comments come amid heightened volatility where Bitcoin and Ethereum experienced sharp corrections driven by multiple factors such as U.S.-China trade tensions, credit market deleveraging, and typical October market fluctuations.

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### Fund Manager Performance Signals Potential Rebound

Lee highlighted that only 22% of fund managers are currently beating their benchmarks this year. This underperformance, he suggests, may prompt many managers to begin “chasing performance,” potentially lifting asset prices across markets. “BTFD — that’s our take,” Lee said, referring to the “buy the dip” strategy, encouraging investors to buy during market pullbacks rather than wait on the sidelines.

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### BitMine Increases Ethereum Holdings by $417M

Backing his positive outlook, BitMine recently expanded its Ethereum holdings by acquiring over 104,000 ETH valued at approximately $417 million. Blockchain data reveals these funds were transferred from Kraken and BitGo wallets into new BitMine-controlled wallets, signaling a strategic accumulation rather than short-term trading.

This move underscores BitMine’s focus on long-term positions and reflects their belief that Ethereum remains undervalued in the current market cycle. In a recent podcast, Lee expressed optimism about Ethereum’s future, forecasting that ETH could reach between $10,000 and $12,000 by the end of 2025. His outlook is shared by other industry experts such as Arthur Hayes, co-founder of BitMEX, who also views the recent market volatility as temporary.

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### Trump to Meet China’s Xi Jinping to Renegotiate Tariffs

Adding to market dynamics, U.S. President Donald Trump has confirmed a meeting with Chinese President Xi Jinping scheduled in two weeks to discuss existing trade tariffs. Trump referred to the current tariffs on Chinese imports as “not sustainable” and suggested they could be reduced following negotiations.

When asked about the status of tariffs, Trump replied, “No, we’ll be fine with China.” This announcement has raised hopes for a reset of U.S.-China trade policies, which could provide relief to both traditional and digital asset markets that have been sensitive to ongoing global economic pressures.

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### Federal Reserve Signals Possible Rate Cuts Amid Market Stress

Meanwhile, Federal Reserve Chair Jerome Powell has hinted at potential rate cuts, citing slower job growth and weak inflation as reasons for adopting a more flexible monetary policy stance. These signals come as global markets contend with significant pressure and uncertainty.

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### Crypto Markets See Over $1 Billion in Liquidations

The combined effect of trade tensions, economic uncertainty, and market volatility has led to over $1 billion in total liquidations within 24 hours. Bitcoin accounts for the largest share, with $369 million in long positions liquidated, while Ethereum saw $262 million liquidated.

Analysts believe that while economic pressure and investor uncertainty are driving the current downturn, signs of easing trade tensions and possible Fed rate cuts may help markets regain stability in the near future.

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**Conclusion**

As the crypto market navigates increased volatility, BitMine chairman Tom Lee’s bullish stance suggests that current market fear could present valuable long-term investment opportunities. Coupled with upcoming U.S.-China talks and potentially accommodative Fed policy, the outlook may brighten for investors prepared to “buy the dip.”
https://coincentral.com/bitmine-buys-more-eth-as-trump-prepares-to-meet-china-on-tariffs/