Ethereum has been sliding in early 2026 and is trading below $2,000, closer to the $1,800-$1,900 zone as the market struggles to find support. Recent price action shows bearish momentum amid weak sentiment and broader crypto sell-offs. Retail traders are nervous over the weak price, while major institutions are on an investment spree.
BitMine Immersion Technologies announced that it added 51,162 ETH last week, bringing its total Ethereum holdings to 4.423 million tokens worth roughly $9.6 billion in combined crypto and cash assets. That move makes BitMine one of the largest public crypto treasuries in the world and signals that some institutions are buying the dip while retail is on the sidelines.
This kind of accumulation could mark a potential bottom in price, creating a buy-the-dip opportunity for long-term investors even as founder Vitalik Buterin’s recent ETH sales continue to fuel short-term fear.
BitMine’s Big Buy: Breaking Down the Details
BitMine Immersion Technologies has been steadily building one of the largest global Ethereum treasuries. In the past week, the company added 51,162 ETH to its holdings during a price pullback, a move valued at roughly $98 million based on recent ETH prices around $1,958 per coin. This latest purchase brings BitMine’s total balance to approximately 4.423 million ETH, equal to about 3.66% of all ETH in circulation.
Of the total 4.4 million ETH held, the company has 3.04 million tokens actively staked. At prevailing yields, that translates into annual staking income of $171 million to $249 million, depending on yield rates across its validator network. BitMine plans to roll out its MAVAN staking platform in the first quarter of 2026 to further scale its staking operations.
BitMine chairperson Thomas “Tom” Lee has publicly described this strategy as deliberate during what he calls a mini crypto winter. He acknowledges that the company is holding significant unrealized losses as ETH dropped from higher levels earlier in 2026, but he argues that consistently buying below $2,000 per ETH strengthens the treasury over time and moves BitMine closer to its long-term target of owning 5% of the total supply.
Institutional buys during market dips like this differ from retail buying, which often slows or pauses. BitMine’s approach shows confidence in Ethereum’s future utility and yield potential even as prices temporarily weaken.
Broader Institutional Trends: Who’s Buying the Ethereum Dip?
Institutions are accumulating Ethereum even as the price slides. The on-chain investor group known as 7 Siblings has been quietly adding ETH to its balance. Over recent weeks, it bought nearly 4,800 ETH, worth over $10 million, at average prices just above $2,000 per coin, according to trading data showing the group added 1,994.98 ETH in one hour at around $2,070 per coin and built up total buys over time.
Elite endowments are also entering ETH exposure through traditional markets rather than direct coins. Harvard Management Company disclosed that it reduced its Bitcoin ETF position while opening a new stake in BlackRock’s iShares Ethereum Trust, reporting more than 3.8 million shares of the ETHA ETF, valued at roughly $87 million, in itslate 2025 filings.
The growth of regulated ETH products matters because major asset managers are expanding how institutions can access the market. BlackRock’s existing spot ETH ETF holds billions in ether, and filings show plans for a staking-enabled ETF that would share yield with investors.
These moves show that while retail sentiment has weakened, large allocators and diversified funds continue to increase exposure. Institutions look beyond price dips toward products that mix yield and regulated access, reshaping how traditional capital engages with Ethereum.
On-Chain Metrics: Evidence of Accumulation
On-chain data shows signs of accumulation, but the signals need context. Data from CryptoQuant indicates that accumulation addresses have increased their ETH balances steadily since mid 2025. Weekly inflows into these wallets rose through February 2026, suggesting that larger holders are absorbing supply during price weakness.
At the same time, whale behavior has shifted. Average large sell orders on major exchanges declined from around 2,250 ETH in January to near 1,350 ETH more recently, suggesting that big players are reducing aggressive selling.
Ethereum is trading around $2,054 with a market cap close to $250 billion and daily volume above $31 billion. Network data shows that about 30% of the total supply is actively staked. Claims above 50% often refer to cumulative deposits, not currently locked ETH.
The Spent Output Profit Ratio has hovered near or below 1, indicating that many transactions are occurring at a loss. This aligns with capitulation from weaker hands while stronger holders build positions. Cost basis clusters appear near the $1,995-$2,015 range, though that resistance band is an estimate rather than a fixed on-chain level.
The Counter-Narrative: Vitalik’s Sales and Bearish Sentiment
Ethereum co-founder Vitalik Buterin has continued selling portions of his personal ETH holdings as the ETH price fell below $1,900 recently. On-chain data shows he sold about 1,869 ETH within a recent two-day window, worth roughly $3.7 million at the time, and his total February sales have approached 8,800 ETH, valued at around $16 million at current prices. This activity happened as the Ethereum price dipped, triggering liquidations and renewed selling pressure.
Many traders see these founder wallet movements as a sentiment event that adds to fear during a downtrend, even though such sales represent only a tiny fraction of the total supply. Weak price action has also been driven by broader factors such as macro fear around AI market rotations and outflows from some crypto ETFs. Still, large holders and institutions continue absorbing supply, which may blunt the worst of retail panic.
What This Signals for Retail Investors: Strategies to Profit
Ethereum’s current price action around the $1,800 to $2,000 level gives clarity on how retail investors might approach the market now. ETH price has struggled to break above $2,000 in recent sessions, and support around $1,800 remains key for buyers to watch.
If retail investors see buying at these levels, they can use them as disciplined entry points over time rather than trying to catch a precise bottom. Dollar-cost averaging into ETH helps spread risk and build a position as prices fluctuate and volatility remains high.
Another strategy for retail participants is to stake ETH to earn yield while waiting for a recovery, especially since staking demand and network security remain strong even in downturns.
Watching key levels like $1,800 on the downside and $2,000 on the upside provides simple guardrails for managing entry and exits. Retail investors should also be aware that prices could fall further toward the $1,500- $1,600 range if broader market stress persists.
Ethereum’s Future: Predictions for 2026 and Beyond
The current dip in Ethereum price creates a potential entry point for long-term investors who want to buy while larger holders are accumulating. When institutions or large holders buy during weakness, it can signal confidence that prices may be undervalued for future growth. Retail investors can use dollar-cost averaging to enter positions gradually over time, avoiding buying all at a single peak price and thereby smoothing risk.
Another strategy is to stake ETH to earn yield while holding for the long term, as staking rewards provide income even if prices are flat. It is also useful to watch key price levels, for example, many traders see support near $1,800 and resistance near $2,000 based on recent trading ranges, which can further refine an Ethereum price prediction strategy.
FAQ
Is ETH a good buy now?
Ethereum is trading below recent highs while some institutions continue buying. That can signal long-term confidence. Still, the price is volatile and can fall further. Many investors use dollar cost averaging instead of buying all at once.
How can I track whale buys?
You can monitor large wallet movements using on-chain trackers like Whale Alert and CryptoQuant. These platforms show big transfers, exchange inflows, and accumulation patterns.
Conclusion
BitMine’s recent Ethereum purchase shows that some institutions are accumulating while prices remain under pressure. Even as retail sentiment weakens and headlines turn bearish, large players continue building long-term positions. That contrast matters. When institutions buy during dips, retail investors should pay attention and assess the opportunity carefully.
