BitMine Immersion Technologies Inc. (NYSE:BMNR) stock rose nearly 5% Tuesday after the company updated investors on its Ethereum (CRYPTO: ETH) treasury strategy.
Ethereum Holdings Reach 5.85 Million Tokens
BitMine said its Ethereum holdings reached 5.85 million tokens. Its crypto assets, cash, marketable securities and "moonshot" investments totaled $14.9 billion.
That figure included $308 million in cash and marketable securities. BitMine held 5.07 million staked Ethereum tokens. The company valued those tokens at $12.4 billion, based on an Ethereum price of $2,440.
BitMine said it had completed 97% of its "Alchemy of 5%" goal. The strategy aims to acquire 5% of Ethereum’s circulating supply.
Ethereum has gained 30% over the past week, according to the company. As a result, BitMine’s valuation remains closely tied to Ethereum prices and the scale of its staking operations.
The company also noted that it joined the Russell 1000 on June 26. Its Series A preferred stock trades on the New York Stock Exchange under the ticker BMNP.
Technical Analysis
BitMine traded 30.8% above its 20-day simple moving average of $19.22. It also stood 48.1% above its 50-day SMA of $16.99.
In addition, the stock traded 10.1% above its 200-day SMA of $22.84. That level often serves as a key indicator of the long-term trend.
The stock’s relative strength index stood at 78.95. A reading above 70 signals overbought conditions. Therefore, the rally may be vulnerable to a pullback or a period of consolidation.
Still, one long-term warning remains. The 50-day SMA is below the 200-day SMA following a January death cross. Moreover, BitMine shares remain down 49.25% over the past 12 months despite the recent rebound.
Key Support: Traders may watch $20 as an initial support level. The area is also near the 20-day SMA and could attract buyers during a pullback.
Top ETF Exposure
BitMine has notable weightings in several cryptocurrency-focused ETFs:
- Corgi Crypto Infrastructure ETF (NASDAQ:BLCK): 4.52%
- Bitwise Crypto Industry Innovators ETF (NYSE:BITQ): 5.52%
- Global X Blockchain ETF (NASDAQ:BKCH): 7.99%
Because of those weightings, fund inflows or outflows could trigger additional buying or selling of BMNR shares.
BMNR Price Action
BitMine shares were up 4.57% at $25.24 at the time of publication Tuesday, according to Benzinga Pro.
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