TLDR
- Bit Digital acquired 31,057 ETH worth $140 million through convertible notes, increasing total holdings to 150,244 ETH and becoming the sixth-largest corporate holder.
- BlackRock purchased $217.3 million in ETH, demonstrating institutional confidence in the cryptocurrency’s long-term prospects.
- Ethereum trades at $4,424.42 with a 5.73% daily decline but maintains a 6.69% weekly gain and $57.74 billion in trading volume.
- Corporate treasuries and ETFs now control 12.6 million ETH, representing 10.3% of total supply and valued at $56.4 billion.
- Technical analysts predict potential breakout to $5,200 if ETH maintains support above $4,300, with key resistance at $4,800.
Ethereum is currently trading at $4,424.42 following a 5.73% decline over the past 24 hours. Despite the short-term price drop, ETH has posted a 6.69% gain over the past week.
The cryptocurrency’s market capitalization stands at $533.54 billion. Daily trading volume reached $57.74 billion, marking a 30.68% increase from the previous day.
Bit Digital Expands Ethereum Holdings
Bit Digital completed a purchase of 31,057 ETH valued at approximately $140 million. The acquisition was funded through a $150 million convertible notes offering.
The purchase brings Bit Digital’s total Ethereum holdings to 150,244 ETH. This positions the company as the sixth-largest corporate Ethereum holder globally.
Sam Tabar, Bit Digital’s CEO, stated the purchase demonstrates commitment to building shareholder value. The convertible notes were priced at $4.16 per share, an 8.2% premium to the company’s mark-to-market net asset value.
Institutional investors participating in the notes offering included Kraken Financial, Jump Trading Credit, and Jane Street Capital. Bit Digital’s estimated mark-to-market net asset value stood at $3.84 per share as of late September.
The company holds assets backed by $512.7 million in Ethereum and $723.1 million in shares of WhiteFiber Inc., its majority-owned subsidiary.
BlackRock Enters Ethereum Market
BlackRock acquired $217.3 million worth of ETH in a separate transaction. The purchase represents growing institutional adoption of Ethereum among traditional finance companies.
Combined, the two purchases total $357.3 million in new institutional demand for Ethereum. Corporate treasuries and exchange-traded funds now hold 12.6 million ETH valued at $56.4 billion, representing over 10.3% of total supply.
Bit Digital ranks behind PulseChain Sac, the Ethereum Foundation, The Ether Machine, SharpLink Gaming, and Bitmine Immersion Technologies in corporate holdings. SharpLink Gaming holds 838,730 ETH after beginning accumulation in June.
Price Analysis and Technical Outlook
Crypto analyst @matthughes13 believes Ethereum is consolidating above $4,350 before a potential surge. The daily chart shows ETH maintaining the uptrend that started in June despite the recent 5% correction.
Near-term support levels are positioned at $4,300, with additional support at $3,850 and $3,600. Key resistance levels sit at $4,800 and $5,200.
If Ethereum maintains support above $4,300, technical indicators suggest a consolidation phase before a possible breakout toward $5,200. A break below $3,850 could trigger a deeper correction.
Tabar indicated Bit Digital plans to continue expanding ETH holdings while focusing on long-term net asset value growth for shareholders. The company described current price levels as a compelling long-term entry point.
Ethereum remains the second-largest cryptocurrency treasury asset after Bitcoin. Corporate treasuries hold approximately 4 million Bitcoin valued at $500 billion.
The increased trading volume and institutional purchases come as Ethereum continues to dominate the smart contract platform sector with a market capitalization exceeding half a trillion dollars.
