Tom Lee has indicated that BitMine Immersion Technology may soon slow down its aggressive Ethereum buying strategy once it reaches its goal of owning 5% of Ethereum’s total circulating supply.
Lee made the comments while discussing BitMine’s Ethereum accumulation plan, known as the “Alchemy of 5%” strategy. According to him, the company may not need to continue purchasing large amounts of ETH once it reaches that target.
BitMine currently holds around 5.54 million ETH, representing nearly 4.6% of Ethereum’s circulating supply. The company has spent months building one of the largest corporate Ethereum holdings in the market.
Despite Lee’s comments, BitMine continues to add to its position. Recent blockchain data showed the company purchased another 25,000 ETH from BitGo, valued at approximately $41 million. Over the past few days alone, BitMine has reportedly acquired around 125,000 ETH worth more than $200 million.
The company recently completed its largest Ethereum purchase of the year, buying nearly 127,000 ETH in a deal worth about $214 million. Additional reports suggest BitMine may have acquired even more Ethereum through separate transactions.
Lee remains bullish on Ethereum’s long-term future. He argues that blockchain technology can lower costs across the financial system and improve the way transactions and records are handled. He also believes the rise of artificial intelligence could increase demand for Ethereum, as AI-powered systems may use blockchain networks for payments, settlements, and secure data management.
At the same time, Ethereum’s price has shown signs of recovery. ETH recently gained around 3% and traded near $1,650, while activity in Ethereum futures markets has also increased as traders return after recent market weakness.
However, BitMine’s stock performance has remained under pressure. Shares have fallen over the past month as investors remain concerned about the risks associated with holding large amounts of cryptocurrency on corporate balance sheets.
Earlier reports suggested that the company faced significant unrealized losses when Ethereum’s price dropped below $1,550, raising concerns among investors about the volatility of its treasury strategy.
Even so, Lee believes BitMine could benefit from potential inclusion in the Russell 1000 Index later this month, a move that could attract additional institutional investment and improve market confidence in the company.
For now, BitMine appears committed to reaching its 5% Ethereum ownership goal, though Lee’s latest comments suggest the company’s buying spree may begin to slow once that milestone is achieved.
