BitMine has disclosed one of the largest Ethereum treasuries ever recorded, 3. 63 million ETH. However, its stated average purchase price of $2,840 has sparked immediate pushback from analysts who claim the math does not add up. The update is significant because BitMine is now approaching its long-stated goal of acquiring 5% of all Ethereum, a threshold that Fundstrat has dubbed the “Alchemy of 5%.” Sponsored BitMine Discloses $11. 2 Billion in Crypto and Cash Holdings In an update on November 24, BitMine (BMNR) reported total holdings of $11. 2 billion across crypto, cash, and “moonshots.” The company holds 3, 629, 701 ETH, 192 BTC, a $38 million stake in Eightco Holdings, and $800 million in unencumbered cash. According to BitMine, the 3. 63 million ETH was accumulated at an average price of roughly $2,840 per token. At current market levels above $2,900, the position would be slightly profitable. Chairman Thomas “Tom” Lee reiterated that BitMine has now acquired 3% of the Ethereum network. Sponsored Weekly Purchases Show Aggressive Accumulation BitMine also published its weekly ETH purchases, showing consistent and sizeable inflows throughout October and November. This accumulation cements BitMine as the largest ETH treasury globally. It is also the second-largest overall crypto treasury behind MicroStrategy, which holds 649, 870 BTC valued at $57 billion. Sponsored Lee argued that the recent downturn in crypto prices aligns with “impaired liquidity since October 10” and weak technical conditions. However, he noted that ETH had already neared the previously projected downside level of $2,500 by Fundstrat. BitMine highlighted the rapid rise of BMNR as one of the most actively traded stocks in the US. Average daily dollar volume stood at $1. 6 billion (five-day average as of November 21), ranking the stock #50 nationally, just behind Mastercard and ahead of Palo Alto Networks. Sponsored Investors Dispute the Reported Average Purchase Price Despite the bullish disclosures, market onlookers quickly challenged BitMine’s stated cost basis. Blockchain analytics account Lookonchain estimated BitMine’s average purchase price at approximately $3,997, claiming an unrealized loss of more than $4 billion. Another analyst wrote that BitMine’s “$2,840” figure merely reflected the ETH spot price at the time of the company’s posts, rather than an accurate average purchase price. Additional users independently calculated an implied average closer to $3,800 to $4, 000. “Your average price per ETH should be around $3,840. is this accurate?” they posed. BitMine has not yet addressed the discrepancy or provided a detailed cost-basis breakdown. Therefore, all eyes now turn to whether BitMine will clarify its accounting, continue its weekly ETH accumulation, and reach the symbolic 5% ownership threshold. With Made in America Validator Network (MAVAN) set for deployment in early 2026 and BMNR rising in market prominence, BitMine’s treasury strategy is likely to remain a central narrative in the Ethereum ecosystem over the coming months.
https://bitcoinethereumnews.com/ethereum/bitmine-reveals-3-6-million-eth-but-investors-question-the-math/
Tag: microstrategy
Strategy’s Bitcoin Buying Slows, Analysts See Potential for Renewed Momentum
MicroStrategy Holds Over 640,000 BTC, Representing About 3% of Global Supply, Supporting Sustained Growth Potential
MicroStrategy currently holds more than 640,000 Bitcoin (BTC), which accounts for approximately 3% of the total global supply. This substantial accumulation underscores the company’s commitment to Bitcoin as a core asset, supporting its long-term growth strategy. While recent quarters have seen a deceleration in Bitcoin purchases, this slowdown reflects market timing considerations rather than any fundamental flaws in MicroStrategy’s Bitcoin approach.
Shares of MicroStrategy have responded positively to recovery optimism, rising 5% recently. A notable development enhancing the company’s financial flexibility is the upgrade to a B- credit rating from S&P Global Ratings. According to TD Cowen analysis, this rating opens the doors to a $4.9 trillion global credit pool, potentially tripling funding capabilities for further Bitcoin acquisitions.
Explore how MicroStrategy’s Bitcoin engine, despite its current slowdown, remains primed for future growth. Analysts remain bullish on the company’s yield potential and enhanced credit access, particularly as Bitcoin stabilizes around $110,000, with key insights and projections available for 2025 investors.
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### What Is MicroStrategy’s Current Bitcoin Accumulation Pace?
After two years of consistent increases, MicroStrategy’s Bitcoin accumulation has notably slowed. Recent quarterly data indicates a reduced pace of purchases as the company calibrates its market exposure.
In parallel, MicroStrategy’s market premium to net asset value (NAV) has tightened, dropping to 1.2x—its lowest level since early 2023. This coincides with Bitcoin’s stabilization near the $110,000 mark. Despite this cooling period, the company continues to leverage a framework designed to channel Wall Street capital directly into Bitcoin holdings. This approach offers investors a regulated exposure to Bitcoin that avoids the restrictions associated with spot ETFs.
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### How Does MicroStrategy’s Credit Access Impact Its Bitcoin Strategy?
The recent B- rating from S&P Global Ratings marks a pivotal shift in MicroStrategy’s financial standing. This upgrade grants access to the vast $4.9 trillion global credit market, substantially enhancing the firm’s ability to secure funding for Bitcoin purchases.
TD Cowen analysts highlight that this development could enable MicroStrategy to potentially triple the scale of its Bitcoin acquisitions. The rating reflects the company’s maturing financial profile, successfully blending traditional credit mechanisms with cryptocurrency assets.
In addition to credit access improvements, MicroStrategy has introduced a Return-of-Capital (ROC) tax treatment for its preferred dividends. This strategy allows investors to defer taxes indefinitely and significantly increases appeal for institutional investors seeking yield-bearing Bitcoin investment opportunities.
While short-term Bitcoin purchase momentum may soften, this structural advantage positions MicroStrategy to resume aggressive Bitcoin accumulation by early 2026. Price targets have been adjusted to $535 per share to reflect tempered near-term expectations but preserve strong long-term growth outlooks.
Expert commentary emphasizes that rising Bitcoin prices combined with expanded capital market access will remain core drivers for MicroStrategy’s sustainable yield expansion, assuming stable market conditions.
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### Frequently Asked Questions
**What Are the Latest Holdings in MicroStrategy’s Bitcoin Portfolio?**
MicroStrategy holds over 640,000 Bitcoin, representing about 3% of the total global supply. This portfolio, built through consistent capital raises, has delivered a year-to-date Bitcoin yield of approximately 26%. According to estimates by Mizuho Securities, the company is on track to meet its internal yield target of 30% if Bitcoin prices remain stable through 2025.
**Why Is MicroStrategy’s Stock Premium Declining Amid Bitcoin’s Price Stability?**
The company’s market premium to net asset value has compressed to 1.2x as Bitcoin consolidates near $110,000. Analysts, including those at Benchmark, interpret this as a natural normalization following rapid gains, marking a phase of subdued volatility in both stock and cryptocurrency markets. Many view this as an opportune entry point rather than a signal of weakness.
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### Key Takeaways
– **Strategic Pause in Accumulation:** The slowdown in Bitcoin purchases is attributed primarily to market timing strategies rather than operational issues. MicroStrategy’s Bitcoin acquisition framework is designed for long-term capital conversion into crypto assets.
– **Bullish Analyst Projections:** Mizuho Securities forecasts Bitcoin reaching $150,000 by the end of 2025, implying a compound growth rate of 25% over three years, which supports MicroStrategy’s yield objectives.
– **Enhanced Funding Pathways:** The S&P B- rating unlocks significant credit access, facilitating larger-scale Bitcoin purchases. Tax-advantaged dividend treatments further enhance the appeal to institutional investors targeting yield-generating Bitcoin assets.
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### Conclusion
MicroStrategy’s substantial Bitcoin holdings and improved access to credit markets position the firm for sustained growth despite a temporary slowdown in accumulation pace. With ongoing institutional support, favorable tax treatments, and expert bullish projections on Bitcoin prices, MicroStrategy remains a compelling player in the integration of traditional capital markets with cryptocurrency assets. Investors looking toward 2025 should consider the company’s strategic positioning and potential for expanded Bitcoin exposure backed by enhanced financial resources.
https://bitcoinethereumnews.com/bitcoin/strategys-bitcoin-buying-slows-analysts-see-potential-for-renewed-momentum/?utm_source=rss&utm_medium=rss&utm_campaign=strategys-bitcoin-buying-slows-analysts-see-potential-for-renewed-momentum
Ripple’s David Schwartz Update Triggers Massive Bullish Signals Amid XRP Whale Buying Spree ⋆ ZyCrypto
The XRP community is buzzing with excitement following a major announcement from Ripple’s Chief Technology Officer, David “JoelKatz” Schwartz. Schwartz revealed that he will be taking on a strategic advisor role with Evernorth, a newly formed investment vehicle focused on expanding XRP’s presence across decentralized finance (DeFi) and capital markets. This move could mark a significant turning point for XRP’s market trajectory.
Evernorth is led by former Ripple executive Asheesh Birla and aims to become the largest publicly traded XRP treasury on the Nasdaq under the ticker “XRPN.” The company recently confirmed plans to go public through a business combination with Armada Acquisition Corp II. This deal is expected to raise more than $1 billion in gross proceeds, providing Evernorth with both regulatory credibility and substantial financial resources to accumulate XRP and develop liquidity, lending, and yield infrastructure around the asset.
Schwartz’s involvement underscores Ripple’s deepening ties to Evernorth’s strategic vision and bolsters confidence in XRP’s institutional potential. Analysts widely interpret this announcement as a clear sign that Ripple is positioning XRP for mainstream capital market integration—potentially mirroring how MicroStrategy significantly boosted Bitcoin’s exposure in traditional finance.
Market momentum appears to be reflecting this optimism. Data from Santiment shows XRP climbed back above $2.50 after briefly dipping below $1.90 just ten days earlier. Despite widespread fear and uncertainty among retail traders, prices have surged, moving counter to crowd sentiment.
On-chain data also highlights strong buying activity, with whales accumulating more than 30 million XRP within a 24-hour period between October 20th and 21st. This signals growing confidence among deep-pocketed investors.
Adding to the positive outlook, technical analysts have identified a bullish “inverse head and shoulders” pattern forming on XRP’s chart, targeting a potential move toward the $3.10 resistance level.
With whale accumulation, improving market sentiment, and Ripple’s top engineer joining forces with Evernorth’s billion-dollar expansion, the stage seems set for another upward leg in XRP’s price action.
https://bitcoinethereumnews.com/tech/ripples-david-schwartz-update-triggers-massive-bullish-signals-amid-xrp-whale-buying-spree-%e2%8b%86-zycrypto/?utm_source=rss&utm_medium=rss&utm_campaign=ripples-david-schwartz-update-triggers-massive-bullish-signals-amid-xrp-whale-buying-spree-%25e2%258b%2586-zycrypto