Following last week’s massive decline, the crypto market is off to a strong start this week.
Bitcoin regained the $89,000 level on Monday, but has fallen slightly and is now trading above $86,000.
Ether, the second-largest cryptocurrency by market capitalization, is trading above $2,800 per coin and could rise further in the short term.
That recovery comes as institutional investors continue to acquire more Ether tokens.
BitMine buys more Ether coins
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Ether has risen 2% in the past 24 hours and is currently trading around $2,900.
Ethereum treasury company Bitmine Immersion Technologies increased its Ethereum holdings last week, resulting in strong performance.
The company purchased 69,822 ETH, increasing its total holdings to 3.63 million ETH.
Thanks to this latest acquisition, BitMine now holds 3% of all ETH in circulation, moving it closer to its original goal of owning 5% of Ethereum’s supply.
The company confirmed in a statement on Monday that it also maintains a balance of 192 Bitcoin (BTC), $38 million in WorldCoin (WLD) Treasury Aitco Holdings shares, and $800 million in unencumbered cash.
However, thanks to the recent drop in cryptocurrency prices, BitMine’s total asset value has decreased to $11.2 billion.
BitMine has over $3.4 billion in unrealized losses through its ETH treasury. BitMine Chairman Thomas Lee said:
“The continued decline in cryptocurrency prices over the past week reflects reduced liquidity since October 10th and still weak price technicals. A few weeks ago, we noted that the downside potential for ETH price could be around $2,500, and currently ETH price is basically there. This means that the downside is 5% to 7%, while the upside is Ethereum’s supercycle, so the risk and reward are asymmetric.”
Additionally, BitMine announced its intention to begin staking ETH holdings in 2026 using the Made in America Validator Network (MAVAN).
This staking could help drive up the average cost basis of the ETH held by BitMine.
The company is currently the world’s leading Ethereum treasury, followed by Sharplink Gaming and Ethermachine with 859,395 ETH and 496,712 ETH respectively.
Ether aims for $3,200 despite resistance pressure around $3,000
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The 4-hour chart of ETH/USD is bearish and efficient as Ether has increased its value by 2.5% in the past 24 hours.
Short traders suffered $53 million in liquidations in the past 24 hours as Ether briefly tested the $3,000 resistance level.
This positive performance came after Ether fell below the $2,600 level on Friday.
The coin is currently trading above $2,880 and could rise further in the short term.
Ether is showing early signs of rejection after hitting the $3,000 psychological level a few hours ago and is currently facing pressure.
Overcoming the $3,000 level will allow ETH to reach ILQ and TLQ levels above $3,100.
Conversely, if the $3,000 resistance level is not overcome and the $2,850 support fails to hold again, Ether could fall towards $2,300.
The 4-hour RSI of 50 is currently neutral, indicating bearish momentum is weakening. The MACD line is also moving into bullish territory in the short term.
