Tom Lee Loses $5.8B on ETH – But Keeps Buying

2026-02-05 00:00:39

** Bitmine, led by Tom Lee, holds the current ETH at a loss of $5.8B, having purchased at 3, 650. Although it is red, the company has also recently received an additional 40 M. Why is this a strategic move?**

Bitmine has unrealized deficits totaling to $5.85B on its purchases of ETH at an average of about $3,650. The market price is near $2,300.

According to Arkham on X, purchasing has persisted. A wallet was actively transferring an amount of ETH to the tune of $46.04M in accordance with the current buying trend of Bitmine. The company purchased an additional 40 M of tokens.

TOM LEE IS DOWN $5 BILLION… BUT HE’S STILL BUYING $ETH

Tom Lee’s Bitmine is now down a total of $5.85 BILLION on ETH, which they purchased at an average price of ~$3650.

However: they just bought another $40M ETH. A fresh wallet received $46.04M ETH matching existing Bitmine… pic.twitter.com/f3F5fwCMcX

— Arkham (@arkham) February 3, 2026

Source: Arkham

Bitmine is among the biggest institutional ETH bets. It has a long-term accumulation strategy without being afraid of changes in short-term prices.

Every Single Buy Remains Deep Red

Bitmine started making purchases in July, and none of these purchases has become green. The fund owns 243,765 ETH with 560 M unrealized losses. According to Coin Bureau, the average price per ETH exceeds the existing $2,300 price tag.

💸 TOM LEE’S ETH BET IS STILL LOSING

Bitmine is still sitting on -$560M in unrealized losses, with 243,765 $ETH in the red.

WORST part is, every single ETH they’ve bought since they began accumulating in July is DOWN.

That means Bitmine’s average buy cost is still ABOVE ETH’s… pic.twitter.com/1t4iJ9fzkR

— Coin Bureau (@coinbureau) February 3, 2026

Source: Coinbureau

The previous week, 41,788,788 ETH were purchased at an approximate price of 2,488, which resulted in a loss of 7.8M. The post-buy price continued to go down, which left the position underwater.

Unwavering investment of funds in a crumbling market is a sign of firm belief. Bitmine engages in dollar-cost averaging on an institutional level by reducing the average entry cost by a small margin per purchase.

Analysts See Different Picture Emerging

According to market representatives, the macro indicators are favorable: ETH is on a long-term upward trend, the index of ISM is over 50, and the world liquidity is increasing.

According to 0xChainMind, these are the historically precursory fundamentals to robust ETH acceleration. There will be significant alt-season movement and a potential trend reversal, according to the analyst.

ETH is still respecting its long-term rising channel

ISM is back above 50 while global liquidity is expanding

Historically, this combo aligns with strong $ETH trend acceleration

Biggest altseason is coming pic.twitter.com/emYjbyJsCA

— 𝗖𝗛𝗔𝗜𝗡 𝗠𝗜𝗡𝗗 ⛓🧠 (@0xChainMind) February 3, 2026

Source: 0xChainMind

Bullish macro conditions are about to take place in the historical data, with increasing liquidity favoring risk assets. A manufacturing index that is over 50 indicates economic growth that can boost the crypto values.

Bitmine keeps its accumulation level, and it does not show any signs of capitulation; each acquisition strengthens its average-down strategy.

ETH-7.87%

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.