The crypto market just witnessed the biggest collapse in history, but one company saw opportunity where others saw disaster.
Bitmine Immersion Technologies bought 128,718 ETH worth about $480 million right after prices crashed on October 10 and 11, 2025.
This wasn’t panic buying. It was a calculated move by one of the largest institutional players in crypto, led by Fundstrat’s Tom Lee. While individual traders were losing billions, Bitmine acted quickly to snap up Ethereum at bargain prices.
What caused the crash
President Trump’s announcement of a 100% tariff on Chinese imports from November 1, 2025 sent shockwaves through global markets. The tariffs were in retaliation for China’s export controls on rare earth minerals — materials crucial for making everything from smartphones to electric vehicles.
The crypto market immediately collapsed. Bitcoin fell 13%, while Ethereum fell as much as 20%. But the real damage was reflected in the liquidation figures: more than $19 billion in leveraged positions were wiped out in just 24 hours. That’s almost 20 times bigger than the COVID crash of March 2020, which saw $1.2 billion in liquidations.
More than 1.5 million traders saw their positions forcibly closed. Most of them had bet that prices would rise, and they paid the price when the markets turned against them. About $8 billion of those losses came from traders betting on rising prices.
Bitmine’s bold move
According to data from blockchain analytics firm Lookonchain, Bitmine didn’t hesitate. The company raised over 128,000 ETH from major exchanges FalconX and Kraken using six newly created wallets. Blockchain data confirms that these massive transfers occurred just as the market bottomed.
Source: @lookonchain
Transaction logs show that Bitmine bought Ethereum at prices as low as $3,728 – a significant discount from the $4,500+ levels just days earlier. This aggressive buying took place while most traders were running for the exits.
The purchase pushed Bitmine’s total Ethereum holdings to approximately 2.96 million ETH, almost 2.5% of all existing Ethereum. That makes them the largest corporate Ethereum holder in the world and the second-largest crypto treasury overall, behind only MicroStrategy’s Bitcoin holdings.
A week of heavy purchases
The purchase of 128,718 ETH was not Bitmine’s only move in October. Earlier that same week, the company purchased 179,251 ETH worth $820 million and another 27,256 ETH worth $104 million. In total, Bitmine spent more than $1.4 billion on Ethereum in just seven days during one of the most volatile periods in crypto history.
As of October 6, the company already owned 2.83 million ETH worth $13.4 billion. Their aggressive accumulation strategy aims to eventually control 5% of all Ethereum – roughly six million tokens. Tom Lee calls this the “alchemy of 5%” strategy.
Why buy during a crash?
Bitmine’s strategy sounds risky, but the company has deep pockets and strong backing. Major investors include Cathie Wood’s ARK Invest, Peter Thiel’s Founders Fund (which owns 9.1% of the company), Pantera Capital and Galaxy Digital.
The company not only owns Ethereum, but also makes money from it. Bitmine stakes almost all of its ETH holdings and earns between 3% and 5% annually via validator nodes. This creates a stable revenue stream while supporting the security of the Ethereum network.
Despite facing more than $2 billion in unrealized losses from the September market drop, Bitmine continued to buy. Tom Lee called the crash a “healthy shakeout” and predicted that Ethereum could recover to $4,500-$5,000 by the end of the year if markets stabilize.
Lee believes Ethereum is at the center of two major trends: Wall Street’s adoption of blockchain technology and artificial intelligence creating new token economies. He sees these forces driving long-term value regardless of short-term volatility.
Other whales join the hunt
Bitmine wasn’t the only one buying the dip. Data from the chain shows that other major investors also rallied during the crash. One over-the-counter whale purchased 14,165 ETH worth $55.5 million on multiple exchanges including FalconX, Coinbase, and Wintermute.
Even in other cryptocurrencies, whales appeared. Major Chainlink holders increased their positions by 22.45%, adding approximately $13.7 million worth of LINK tokens as prices fell.
This institutional buying behavior is in stark contrast to that of retail traders, who mostly sold or were liquidated. The pattern suggests that experienced investors view market crashes as buying opportunities and not as reasons to panic.
The bigger picture
Bitmine shares trade under a ticker on the NYSE Bmnr and is among the most actively traded stocks in America. Its daily trading volume averages $2.5 billion, putting it at number 28 among all US stocks – ahead of Nike and just behind JPMorgan.
The company’s rise was not without criticism. Investment firm Kerrisdale Capital recently announced a short position on Bitmine, calling the business model unsustainable. They argued that the company is issuing shares too quickly to buy Ethereum, which could dilute existing shareholders.
But proponents point to the company’s institutional backing and growing adoption of Ethereum as reasons for confidence. Unlike previous crypto booms driven by retail speculation, major financial institutions and publicly traded companies are building substantial positions in this cycle.
When lightning strikes twice
The October 2025 crash will go down in crypto history as the largest liquidation event ever recorded. But it also revealed a clear divide: Retail traders panicked and lost billions, while institutional players like Bitmine saw an opportunity and pounced.
Whether this $480 million bet pays off depends on Ethereum’s long-term trajectory. For now, Bitmine’s strategy is clear: accumulate during chaos, bet on returns and bet on the future of blockchain. With almost 3 million ETH in their coffers and ambitious plans to reach 5% of the total supply, they are not just buying the dip. They are reshaping who controls the future of Ethereum.
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