Analysis: ETH bearish pattern points to $1,600, BitMine's unrealized losses may exceed $10 billion

Odaily Planet Daily News As Ethereum continues to weaken, the unrealized loss on the book value of ETH reserves held by Tom Lee's BitMine has expanded to approximately $7.35 billion. Data shows that ETH has fallen over 57% from its high of around $4,955 in October 2025, and its market dominance (ETH Dominance) has also declined from about 15% to around 10%.

BitMine initiated its ETH reserve strategy in July 2025 and has been continuously adding to its position after completing a $250 million private placement. The latest data shows it currently holds approximately 5.28 million ETH, accounting for about 4.37% of the total Ethereum supply, making it the world's largest publicly listed company by ETH reserves.

Despite the expanding unrealized losses, Tom Lee remains committed to a long-term accumulation strategy. BitMine has stated it will moderately slow down the pace of coin purchases but will not abandon the ETH reserve plan, and expects to hold 5% of the total Ethereum supply before December this year.

However, technical risks are still intensifying. Analysts point out that ETH is currently near the lower boundary of a typical bearish 'Rising Wedge' pattern. If it breaks below this support level, the price could further decline towards the $1,600 area, representing a potential drop of approximately 25% from current levels. If this scenario occurs, based on BitMine's average holding cost of about $3,513, its unrealized loss on the ETH position could further expand to approximately $10.1 billion.

Meanwhile, market sentiment continues to deteriorate. On-chain data platform Santiment shows that the ratio of bullish to bearish comments about ETH on social media has rapidly declined from over 2:1 at the end of April to nearly 1:1. Analysts say an increasing number of traders are beginning to view ETH as 'Dead Money' (an asset lacking upward momentum). (Cointelegraph)