BitMine Immersion Technologies (a publically traded cryptocurrency treasurer company associated with investor Tom Lee) has significant losses unrealized on its Ether investments following the most recent market liquidations. The situation highlights the dangers of crypto-balance sheet strategies when the markets are in a downturn.
The additional Ether is worth 40,302 (ETHBitMine has unrealized losses of over $6 billion. This is according to Dropstab data, which tracks the prices of digital assets and portfolio values.
According to current prices, BitMine’s Ether is valued at approximately $9.6 billion. This represents a drop from the peak price of $13.9 billion reached in October.
The Kobeissi attributed this move to the fragile liquidity condition.
“In a market where liquidity has been choppy at best, sustained levels of extreme leverage are resulting in “Air pockets” in price,” The market commentator saidAddition to that “herd-like” Positioning amplified sell-off.
Related: Bitmine’s staked Ether holdings point to $164M in annual staking revenue
Crypto markets face a difficult reset
Tom Lee warns that despite the optimism of earlier forecasts for 2025’s end, conditions are now different, and it is likely to be 2026. “painful” Before any potential recovery later in the calendar year, note.
Lee, in an interview with Reuters recently said that crypto markets are still suffering from the effects of deleveragingEven though longer-term foundations are intact. He referred to the Oct. 10 market crashThe collapse of the value of digital assets by roughly 19 billion dollars was a turning point in risk-taking.
The following are some of the ways to get in touch with each other recent assessment by market maker Wintermute The reaffirmed that opinion, saying that structural changes will be needed to sustain a recovery by 2026. Bitcoin, for example, has regained momentum.BTC() and Ether. Broader participation in exchange-traded funds, increased digital asset Treasury mandates, and the return of retail investment.
Wintermute said that these are the factors needed to restore wealth across the entire market. Retail participation remains low, though, because investors tend to focus on themes that are growing faster, such as AI and quantum computing.
Related: Liquidations knock Bitcoin out of world’s top 10 assets
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Source: cointelegraph.com
