The World's Biggest Ethereum Treasury Company Will Stop Buying ETH Soon. That's Why I'm Bearish on Ethereum Right Now.
2026-10-13 11:24
•Dominic Basulto •The Motley Fool
••• ••• Axe Cap view
Why the End of a Big Ethereum Buyer Matters for SA Investors
Bitmine’s plan to stop buying ETH cuts a key source of demand, a signal worth watching from a Rand and JSE perspective.
Bitmine Immersion Technologies holds nearly 5% of all Ethereum and has been a relentless buyer over the past year, quietly supporting the price with steady accumulation. Now, with Bitmine hitting its self-imposed cap, it’s done buying. That’s a problem for Ethereum’s price momentum because one of its most reliable demand drivers vanishes overnight. For South Africans watching crypto exposure through USD/ZAR, this matters. Reduced buying pressure on Ethereum could tighten risk appetite and push the Rand lower, especially if crypto-linked flows dry up. Locally, this lingered bear case might also weigh on tech-heavy stocks like Naspers and Prosus, which have significant crypto investments. If other big holders ramp up purchases, or if Ethereum launches new demand catalysts, the outlook could improve. But right now, without Bitmine’s steady hand, ETH looks vulnerable. this is just our opinion and not financial advice
Avoid adding any new Ethereum exposure for now and consider trimming risk in Naspers or Prosus until the crypto buying narrative clarifies.
- Ethereum
- USD/ZAR
- Naspers
- Prosus
- Other large Ethereum holders increasing purchases unexpectedly
- Ethereum protocol updates sparking renewed investor interest
6/10
Bitmine Immersion Technologies, which holds 4.9% of all Ethereum in circulation ($15.5 billion), plans to stop buying ETH once it reaches the 5% threshold. The author argues this is bearish for Ethereum because Bitmine has been the most persistent buyer over the past 12 months, employing a dollar-cost averaging strategy. With this major demand source disappearing and shifting to yield maximization strategies instead, Ethereum investors may face reduced price support.
Our take is based on reporting first published by The Motley Fool.