This crypto-related stock is setting up for a major move higher, charts show
BitMine Immersion (BMNR) is emerging from technical price consolidation, potentially setting up a break higher, while at the same time making a bold shift from a bitcoin miner to becoming one of the biggest holders of Ethereum . With our CNBC friend Tom Lee playing the Frank Sinatra role (chairman) at Bitmine, I’ve dipped a toe into this name with high hopes to increase my position size once Ethereum and BMNR clear technical hurdles we’ll outline below. Under Lee’s leadership and its “Alchemy of 5%” framework, the company has amassed more than 2.4 million of Ethereum — which is over 2% of the total supply. They’ve raised about a third of a billion dollars in stock sales to increase its ETH stake. This gives investors like us direct exposure to Ether’s upside via an equity wrapper as institutional investors continue to adopt decentralized finance. Ethereum is becoming the backbone of decentralized financial systems including tokenized assets, NFT & web 3 gaming systems, stablecoins (that are in a serious bull market right now) and more. Ethereum’s prior bear case vs bitcoin was there in an unlimited supply of ethereum vs bitcoin’s fixed 21 million coins. That’s not really the case anymore. After the merge in 2022 when ethereum went from proof-of-work to proof-of-stake, ethereum’s supply dynamics changed completely. Basically, if the network is active with numerous transactions, ETH can actually be destroyed in fees than are created through staking rewards. This means the ETH supply can actually shrink over time. I don’t see many physical miners destroying gold out there. Wall Street, institutions and even sovereigns are migrating infrastructure onto the blockchain and ETH is well positioned to capture value through various channels. BMNR’s ethereum strategy offers a leveraged bet not just on ETH, but of financial world’s possible evolution and transformation into blockchain finance. Ethereum futures are showing a nice break of resistance around the $4,150 level that held since Q1 of 2025. Just this summer ETH broke through resistance, now using this level as support, setting up a 5th wave ride into 1 of 3 Fibonacci projection targets of $5,169, $6,001 or all the way up to $7,346. If one of these three zones is achieved this doesn’t mean the whole trend reverses, only we would expect a correction to the powerful uptrend that began in April this year to then set up the next bull trend. As mentioned above, we established a position already in BMNR at $61.89 at just a 1.25% allocation, which is small for our Active Opps account. If we can clear $64.35 I will look to increase to around 2.5%, and if we can clear $72.10 I would look to hold a 5% position. I think the key with this name is to average up and add size as the uptrend becomes more evident! -Todd Gordon, Founder of Inside Edge Capital, LLC We offer active stock alerts, portfolio management, as well as regular market updates like the idea presented above . DISCLOSURES: Gordon owns BMRN personally and in his wealth management company Inside Edge Capital. All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL’S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer.
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