Ether (ETH) is holding strong above the $3,800 mark, a testament to its enduring appeal amid a fervent race among corporate treasuries to bolster their ETH reserves. The latest development in this escalating contest came on Tuesday, with SharpLink Gaming (SBET) declaring that it had acquired an additional 77,210 ETH last week, each purchased at an average price of $3,756, totaling nearly $290 million. This strategic acquisition elevates SharpLink’s total ether holdings to a formidable 438,190 ETH, translating to roughly $1.69 billion in value.
SharpLink’s Aggressive Strategy
SharpLink’s aggressive acquisition spree is part of a broader treasury strategy launched on June 2. By leveraging its at-the-market (ATM) equity facility, the Minneapolis-based firm has managed to raise over $279 million in net proceeds just during the week of July 21. Their ambitious ETH purchasing plan has also yielded 722 ETH in staking rewards, underscoring the company’s dedication to maximizing returns from its crypto holdings. Joseph Chalom, SharpLink’s Co-CEO and former BlackRock executive, conveyed the firm’s unwavering commitment to ether’s potential to revolutionize financial infrastructure.
But why the rush? Well, SharpLink’s ETH concentration ratio—a measure of total ETH held relative to fully diluted shares—has soared 70% since inception. This indicates a calculated bet on the future value of ether, as well as a potential hedge against traditional market volatility.
BitMine Holds the Lead
Despite SharpLink’s headway, BitMine Immersion Technologies (BMNR) retains its lead in the fight for ETH supremacy. The Las Vegas-based titan announced on the same day that its ETH cache stands at a staggering 625,000 tokens, valued at $2.35 billion. BitMine’s strategic maneuvers extend beyond mere accumulation. The company has also unveiled a $1 billion open-ended share repurchase program, a move Chairman Tom Lee describes as part of a broader “expected return calculus.” This initiative allows BitMine flexibility in managing its treasury, offering an alternative to direct ETH purchases as it strives to control 5% of Ethereum’s circulating supply. This follows a recent surge in BitMine’s stock, as detailed in BitMine Stock Spikes, Then Sags After Bitcoin Miner Tops $500 Million in Ethereum.
The rivalry between these two firms is reminiscent of the bitcoin treasury strategies pioneered by the likes of MicroStrategy. However, the focus on ether suggests a shift as companies align themselves with its long-term value proposition. As both firms vie for dominance, their tactics could set precedents for other corporate treasuries considering similar forays into the crypto space.
Market Dynamics and Technical Insights
Ether’s price resilience comes at a time when global markets are on edge, awaiting the Federal Reserve’s monetary policy decision slated for Wednesday at 2 p.m. ET. While no rate changes are anticipated, Fed Chair Jerome Powell’s remarks could stir volatility. Yet, amid this uncertainty, ether has surged 56% over the past month, driven by robust demand from ETFs and corporate treasuries outpacing new supply. BitMine’s optimistic outlook on Ethereum’s potential value is further explored in BitMine Estimates Ethereum’s Implied Value at $60,000 Amid Latest Market Rally.
CoinDesk Research’s technical analysis provides further insights into ETH’s recent performance. Between July 28 and July 29, ETH traded within a 4% range, from $3,735.12 to $3,883.90. Heavy accumulation around $3,735.12, involving 207,182 units, spurred a rally, pushing ETH to highs near $3,885. The final hour of trading saw ETH breach key resistance on strong volume, with the $3,850 zone now acting as a support level.
The Road Ahead
As the ETH treasury race heats up, one has to wonder: will these corporate maneuvers continue to bolster ether’s price, or could market forces disrupt this upward trajectory? The Federal Reserve’s decision, alongside broader macroeconomic trends, could play a pivotal role in shaping the landscape for ether and its corporate suitors. As these dynamics unfold, the crypto world watches with bated breath, eager to see how corporate strategies and market realities will dance together in the coming months.
Source
This article is based on: ETH Treasury Race Heats Up: BitMine Still Ahead Despite SharpLink’s Latest Ether Purchase
Further Reading
Deepen your understanding with these related articles:
- Ethereum Treasuries Face Unique Risks Compared to Bitcoin Firms, Says Bernstein
- SharpLink Nabs BlackRock Exec Who Helped Launch Bitcoin, Ethereum ETFs
- Crypto ETF Investors Want ‘Ethereum Over Bitcoin’ Amid Surging Demand: CoinShares
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
