BitMine Chair’s ‘Feature, Not a Bug’ Theory Fails to Pull Buyers as BMNR Resumes 30% Fall
BMNR stock resumed its 30% fall as investor skepticism outweighed the Chairman's defense of large Ethereum treasury losses.Summary
BitMine (BMNR) stock price continued to decline, falling nearly 25% over five days and over 33% in a month, trading near $22.35. This decline followed intensified concerns over the company's massive unrealized losses on its Ethereum holdings, which amounted to over $6.4 billion as of February 3rd, based on an acquisition cost of $3,800 per ETH when the market price was near $2,200.
Chairman Tom Lee defended the strategy, calling the drawdowns a "feature, not a bug" inherent to long-term crypto accumulation cycles. However, this explanation failed to attract sustained buying interest. Technical indicators suggest selling pressure began before the public defense: On-Balance Volume (OBV) broke its rising trend line around January 28-29, signaling retail distribution, followed by a sharp drop in Chaikin Money Flow (CMF) below zero from January 30, indicating institutional capital outflow.
The stock broke down from a head-and-shoulders pattern, confirming the bearish move. Key downside support levels are $19.26 and $16.71, with potential extended lows near $9.87. Recovery requires reclaiming resistance at $22.52, $25.07, and $28.66, but weak capital flows suggest technical pressure will likely dominate until positive flow confirmation occurs.
(Source：BeInCrypto)