The crash was driven by geopolitical tensions, including President Trump's announcement of a 100% tariff on Chinese software imports and restrictions on U.S. rare earth exports, which caused sharp declines in Bitcoin and Ethereum.

This series of events underscores Bitmine's conviction in Ethereum's resilience and its strategic approach to accumulating assets during periods of high volatility.

This aggressive buying occurred immediately after the crash, with Bitmine withdrawing over 128,000 ETH from major exchanges FalconX and Kraken using six new wallets, indicating a strategic move during market lows.

Despite incurring unrealized losses exceeding $2 billion due to the price decline, Bitmine's continued accumulation reflects strong institutional conviction in Ethereum's long-term value and network fundamentals.

Bitmine's strategy involves aggressive 'buy-the-dip' maneuvers, utilizing validator nodes and liquidity protocols to earn yields through staking and liquidity provision, supporting its long-term position despite short-term losses.

Following a historic crypto market crash on October 12, 2025, triggered by geopolitical tensions and over $20 billion in liquidations, Bitmine seized the opportunity to significantly increase its Ethereum holdings.

The company acquired 128,718 ETH worth approximately $480 million immediately after the crash, boosting its total Ethereum holdings to nearly 2.96 million ETH, or about 2.5% of the total supply.

During the market decline, Bitmine bought ETH at levels as low as $3,728, with active accumulation by institutional whales and OTC traders, despite false online claims suggesting BlackRock was buying Bitcoin.

The market reaction included a 13% drop in Bitcoin and a 20% decline in Ethereum, leading to over $20 billion in liquidations across derivatives markets, highlighting the severity of the downturn.