Technical warning signs are rising for ETH: If BitMine holdings fall further, losses could exceed $10 billion.

On May 24th, Cointelegraph reported that Tom Lee's BitMine is experiencing significant paper losses due to the ongoing decline in Ethereum. With Ethereum having fallen over 57% from its 2025 peak, BitMine's current unrealized losses on its ETH holdings have grown to approximately $7.35 billion. Data indicates that BitMine has been steadily increasing its ETH reserves, defying market trends, since initiating its ETH reserve strategy in July 2025. It currently holds around 5.28 million ETH, which accounts for approximately 4.37% of the total Ethereum supply, positioning it as the world's largest institutional holder of ETH reserves. The average cost of its holdings is approximately $3,513, while the current ETH price has dropped to around $2,100. Despite accumulating losses, Tom Lee has not ceased his investments. BitMine has previously stated its objective to hold 5% of the total Ethereum supply by the end of this year and intends to only "slow down" its purchasing pace rather than halt it. However, both technical and sentiment indicators in the market are deteriorating concurrently. Analysts suggest that ETH is currently nearing the lower boundary of a bearish "rising wedge" pattern. A breach of this support level could lead to a further price decline to the $1600 range, representing a potential drop of approximately 25%. Should this occur, BitMine's unrealized losses could rapidly escalate to approximately $10.1 billion. Concurrently, market sentiment towards Ethereum has cooled considerably. Data from the on-chain analytics platform Santiment reveals that the ETH social media long/short comment ratio has sharply decreased from over 2:1 at the end of April to nearly 1:1. Some traders have even begun referring to ETH as "Dead Money." Amidst continuous outflows from ETFs, shifts in the Ethereum Foundation's leadership, and the redirection of market attention towards other high-beta assets, ETH is currently facing one of the most significant tests of confidence in recent years.