The January blues in the crypto market have now turned into a cold February slowdown.
Since the end of January 2026, the strong rallies seen last year have faded. Instead, the market has entered a slow and steady decline that is testing even long-term investors.
At the time of writing, the total crypto market value has fallen to $2.3 trillion, down by 2.71% in just one day, according to CoinMarketCap data.
Many headlines frame this as a crash, but the reality is more nuanced. The decline is being driven largely by institutions reducing risk, shifting interest rate expectations, and weakening confidence, rather than panic selling by retail investors.
Tom Lee’s BitMine adds more ETH
While small investors are feeling uncertain, big institutions are still showing strong interest in Ethereum [ETH]. One of the main players is Tom Lee’s company, BitMine.
Instead of being cautious during the February market drop, the firm used this period to buy more ETH at lower prices. On the 11th of February, the company moved another 140,400 ETH, worth around $282 million, into staking.
This pushed its total staked Ethereum to nearly 3 million ETH, valued at more than $6 billion.
At press time, about 69% of BitMine’s ETH is locked in staking. This means a large amount of Ethereum is taken out of the market and cannot be sold easily.
BitMine’s previous ETH purchases
Over the past two days, BitMine has been aggressively buying Ethereum, especially near the key $2,000 level. On the 9th of February, when ETH dropped to $2,011.82, the company bought 20,000 ETH worth about $41 million from FalconX.
The next day, it doubled down, acquiring another 40,000 ETH worth roughly $83 million, including 20,000 ETH from BitGo at a daily low of $2,003.10.
By staking such large amounts while prices are falling, BitMine signals confidence in Ethereum’s long‐term potential. In the past 30 days alone, it has added more than 180,000 ETH to its holdings.
BMNR stock price action
BitMine’s strategy is also under pressure. Following these ETH purchases, the company’s shares (BMNR) had a rough trading day. The stock closed at $19.95, falling by nearly 7%, according to Google Finance.
With the total crypto market value staying near $2.3 trillion, many people are watching closely.
Thus, if BitMine’s ‘buy the dip’ strategy works, the company could secure a major position in decentralized finance at low prices. But if the market continues to fall, pressure on BMNR investors may increase.
Final Thoughts
- BitMine’s aggressive Ethereum buying signals strong long-term confidence despite falling prices and weak sentiment.
- Locking nearly 69% of its ETH in staking reduces market supply and shows the company is not planning quick exits.
