Tom Lee’s BitMine Stock Faces Major Risk After Latest Ethereum Buying Spree
Tom Lee’s BitMine inventory has struggled to get well regardless of its deep connection to Ethereum. The BitMine inventory value has traded largely flat in latest days and stays sharply down, 30% over the previous month, intently mirroring Ethereum’s personal decline. This weak point comes whilst the corporate continued growing its Ethereum publicity throughout 2026.
Normally, such aggressive accumulation would help value energy. But the BMNR inventory value remains to be exhibiting indicators of structural weak point. This raises an uncomfortable query. Why is the inventory not responding positively to its rising Ethereum place?
BitMine’s Ethereum Buying Continues, But Two Metrics Show Institutions Still Hesitant
BitMine significantly increased its Ethereum holdings in 2026, including 279,158 ETH to its treasury as of February 22. The newest addition occurred between February 17 and February 22, when over 51,000 ETH have been added.
This regular accumulation confirms the corporate’s long-term conviction in Ethereum. Yet the inventory’s technical construction tells a unique story.
BitMine remains stuck inside a bear flag sample, which varieties when a brief rebound occurs inside a broader downtrend. These patterns typically resolve with one other leg decrease if sturdy shopping for doesn’t return. For now, the projected danger sits at close to 60%, the pole’s peak.
At the identical time, the BitMine inventory continues buying and selling under its month-to-month Volume Weighted Average Price (VWAP), at present close to $20.38.
VWAP represents the common value weighted by quantity and is broadly used as a proxy for institutional positioning. Trading under VWAP suggests establishments are nonetheless holding defensive positions and haven’t absolutely returned as consumers.
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This hesitation additionally seems within the Chaikin Money Flow (CMF) indicator. CMF measures whether or not giant buyers are shopping for or promoting by combining value and quantity knowledge.
While CMF has been rising towards the downtrend since late November, indicating that promoting strain is slowing, it stays under zero. This means institutional promoting has eased, however sturdy shopping for has not but begun.
Together, VWAP and CMF present that regardless of BitMine’s aggressive Ethereum accumulation, institutional investors remain cautious.
The historic significance of breaking above the VWAP line is clear: when it occurred earlier in December, the BitMine inventory value surged by virtually 39% to a neighborhood peak.
If establishments should not shopping for but, what’s conserving the inventory from falling additional?
Retail Buying and Bullish Divergence Offer Temporary Support
Retail buyers seem like offering the principle help for now.
The On-Balance Volume (OBV) indicator, which tracks cumulative shopping for and promoting strain, has been rising even whereas BitMine’s value trended decrease between February 9 and February 20. This divergence means that retail buyers have been accumulating shares in periods of weak point.
Momentum indicators present an identical sample. The Relative Strength Index (RSI), which measures momentum, has shaped a bullish divergence from November 21, 2025, to February 12, 2026.
While BitMine’s value made decrease lows, RSI shaped larger lows. This sample typically alerts that promoting strain is weakening.
This divergence did set off a close to 16% rebound earlier, however the restoration stalled and didn’t reverse the broader development. This failure doubtless displays BitMine’s heavy dependence on Ethereum, as its giant ETH treasury makes the inventory extremely delicate to Ethereum’s continued weak point.
This exhibits retail shopping for alone has not been sturdy sufficient to completely shift market sentiment. The subsequent transfer now relies upon solely on whether or not key value ranges break.
Critical BitMine Stock Price Levels To Track Now
The BitMine stock now sits at a vital technical crossroads.
The first essential resistance stage is $21.76. Moving above this stage would push the inventory above VWAP and sign enhancing energy. This would recommend institutional consumers are beginning to return.
However, the broader bearish construction stays lively until BitMine breaks above $30.52, which might doubtless weaken the bear flag sample. On the draw back, probably the most vital help stage sits at $18.60.
If BitMine falls under this stage, the bearish construction would strengthen considerably. Falling below $18.60, accompanied by a drop in RSI, would additionally weaken the present bullish divergence construction by forming a brand new native backside. Plus, it might verify the breakdown of the bear flag.
This may open the trail towards $15.08, with additional draw back danger towards $11.25 if promoting accelerates.
BitMine’s Ethereum accumulation exhibits long-term conviction. But till institutional consumers return and key resistance ranges break, the inventory stays weak to a different decline.
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