The crypto market just witnessed its largest meltdown in history, but one company saw opportunity where others saw disaster.
Bitmine Immersion Technologies purchased 128,718 ETH worth roughly $480 million right after prices crashed on October 10-11, 2025.
This wasn’t panic buying. It was a calculated move by one of the biggest institutional players in crypto, led by Fundstrat’s Tom Lee. While individual traders lost billions, Bitmine moved fast to grab Ethereum at bargain prices.
What Triggered the Crash
President Trump’s announcement of a 100% tariff on Chinese imports starting November 1, 2025, sent shockwaves through global markets. The tariffs came as retaliation for China’s export controls on rare earth minerals—materials critical for making everything from smartphones to electric vehicles.
The crypto market crumbled instantly. Bitcoin fell 13% while Ethereum dropped a staggering 20%. But the real damage showed up in the liquidation numbers: over $19 billion in leveraged positions got wiped out in just 24 hours. That’s nearly 20 times larger than the March 2020 COVID crash, which saw $1.2 billion in liquidations.
More than 1.5 million traders saw their positions forcibly closed. Most of them had bet on prices going up, and they paid the price when markets moved against them. About $8 billion of those losses came from traders who were betting on rising prices.
Bitmine’s Bold Move
According to data from blockchain analytics firm Lookonchain, Bitmine didn’t hesitate. The company pulled over 128,000 ETH from major exchanges FalconX and Kraken using six newly created wallets. Blockchain records confirm these massive transfers happened right as the market hit bottom.
Source: @lookonchain
Transaction logs show Bitmine bought Ethereum at prices as low as $3,728—a significant discount from the $4,500+ levels seen just days earlier. This aggressive buying happened while most traders were running for the exits.
The purchase pushed Bitmine’s total Ethereum holdings to approximately 2.96 million ETH, nearly 2.5% of all Ethereum in existence. That makes them the largest corporate Ethereum holder in the world and the second-biggest crypto treasury overall, behind only MicroStrategy’s Bitcoin stash.
A Week of Heavy Buying
The 128,718 ETH purchase wasn’t Bitmine’s only October move. Earlier that same week, the company bought 179,251 ETH worth $820 million and another 27,256 ETH valued at $104 million. In total, Bitmine spent over $1.4 billion on Ethereum in just seven days during one of the most volatile periods in crypto history.
By October 6, the company already held 2.83 million ETH valued at $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 isn’t just holding Ethereum—they’re making money from it. Bitmine stakes nearly all their ETH holdings, earning between 3% and 5% annually through validator nodes. This creates a steady income stream while supporting the Ethereum network’s security.
Despite facing over $2 billion in unrealized losses from September’s market decline, Bitmine kept buying. Tom Lee called the crash a “healthy shakeout” and predicted Ethereum could rebound to $4,500-$5,000 by year’s end if markets stabilize.
Lee believes Ethereum sits at the center of two major trends: Wall Street 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 alone in buying the dip. On-chain data shows other large investors also accumulated during the crash. One over-the-counter whale purchased 14,165 ETH worth $55.5 million across multiple exchanges including FalconX, Coinbase, and Wintermute.
Even in other cryptocurrencies, whales showed up. Large Chainlink holders increased their positions by 22.45%, adding roughly $13.7 million worth of LINK tokens while prices were down.
This institutional buying behavior stands in stark contrast to retail traders, who mostly sold or got liquidated. The pattern suggests sophisticated investors view market crashes as buying opportunities rather than reasons to panic.
The Bigger Picture
Bitmine’s stock trades on the NYSE under ticker BMNR and ranks among the most actively traded stocks in America. 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 hasn’t been without criticism. Investment firm Kerrisdale Capital recently announced a short position against Bitmine, calling its business model unsustainable. They argued the company issues shares too quickly to buy Ethereum, which could dilute existing shareholders.
But supporters point to the company’s institutional backing and Ethereum’s growing adoption as reasons for confidence. Unlike previous crypto booms driven by retail speculation, this cycle features major financial institutions and publicly traded companies building substantial positions.
When Lightning Strikes Twice
The October 2025 crash will go down in crypto history books as the biggest liquidation event ever recorded. But it also revealed a clear divide: retail traders panicked and lost billions, while institutional players like Bitmine saw 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, stake for yield, and bet on blockchain’s future. With nearly 3 million ETH in their treasury and ambitious plans to reach 5% of total supply, they’re not just buying the dip. They’re reshaping who controls Ethereum’s future.