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Why South Korean Retail Investors Keep Buying BitMine Immersion Technologies

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Why South Korean Retail Investors Keep Buying BitMine Immersion Technologies

Key Takeaways

  • 1 South Korean retail traders kept buying BitMine even after its shares dropped over 80%.
  • 2 In 2025, South Korean investors net invested about $1.4 billion in BitMine, second only to Alphabet in popularity.
  • 3 BitMine shifted from Bitcoin mining to accumulating Ethereum and growing its ETH treasury, causing sharp stock rises and subsequent steep declines.
  • 4 Traders also invested in leveraged products based on BitMine shares: $566 million flowed into the T-Rex 2X ETF despite its roughly 86% loss from peak.
  • 5 BitMine holds about $12 billion in Ethereum on its balance sheet; Ethereum itself fell about 11% in 2025.

South Korean retail investors continue buying BitMine Immersion Technologies despite an 80% stock crash. Discover the Ethereum strategy and its impact on miners.

South Korean retail investors have maintained interest in BitMine Immersion Technologies, continuing to buy shares even after a collapse of over 80% in the stock price. In 2025, local investors collectively made net investments of approximately $1.4 billion in the company, making BitMine the second most net-purchased foreign stock among South Korean retail investors after Alphabet. The company has undergone a radical strategic shift—from Bitcoin mining to accumulating Ethereum—which has driven both rapid stock gains and subsequent sharp volatility.

Why South Korean Retail Traders Keep Buying BitMine

Investor interest in South Korea is fueled by the effect of "accelerated" access to Ethereum via a publicly traded stock: BitMine positions itself as a public company focused on accumulating ETH, attracting those seeking Ethereum exposure through equities. This dynamic has placed the company among the most purchased foreign stocks by South Korean retail investors, trailing only Alphabet in net purchases; this is supported by data on net purchase volumes and market buying activity of South Korean investors. Moreover, for many retail players, the appeal lies not in stability but in the potential for rapid stock price surges when positive momentum occurs.

The Rise and Fall of BitMine’s Stock

The turning point came after the announcement of the shift from Bitcoin mining to building an Ethereum treasury: this news triggered a surge in demand and a stock price increase of more than 3,000% by early July. However, following the peak phase, a correction ensued—the shares dropped roughly 82% from the July 3 peak and overall fell more than 80% from their high, illustrating an example of extreme speculative volatility.

Key figures associated with the company also played an important role: BitMine is backed by well-known investors, and its management is linked to public cryptocurrency market forecasts, which further heightened attention to the stock and capital inflows.

Investments in BitMine-Based ETFs

Some buyers sought leveraged exposure through double-return products: approximately $566 million was directed into T-Rex’s 2X Long BitMine Daily Target ETF to obtain twice the daily exposure to the stock. This leveraged ETF, however, lost about 86% from its peak in September, highlighting the risks of such instruments amid high volatility of the underlying asset.

BitMine’s Appeal to Investors

BitMine’s key competitive advantage is its large Ethereum balance: the company holds about $12 billion worth of ETH, making it a significant public Ethereum accumulator. At the same time, Ethereum itself declined roughly 11% in 2025, and the combination of ETH’s volatility with stock market movements creates an "amplified" risk-return profile for investors.

For some retail traders, BitMine’s structure acts as a leveraged proxy for Ethereum: momentum growth leads to rapid stock price jumps, while capital flow shifts cause equally sharp declines, explaining both the attraction and concerns surrounding this stock. Details on the Ethereum accumulation strategy can be found in materials about how the company built its treasury accumulated 4.066 million ETH.

Why This Matters

If you are a miner in Russia with a small or medium-sized rig setup, direct impact from South Korean retail investor purchases on your mining output may be limited; however, this news is important for understanding liquidity dynamics around Ethereum and public ETH accumulators. The intensified buying and subsequent selling create sharp price impulses that affect Ethereum’s price and the behavior of related stocks and products.

What to Do?

  • Review your exposure to ETH and related public stocks: if you hold savings in the token or accumulator stocks, assess your acceptable drawdown and revisit your risk management.
  • Avoid leveraged ETFs and complex margin products unless you are prepared for rapid losses; such instruments have shown significant drawdowns during capital flow reversals.
  • For miners: focus on operational efficiency and cost accounting rather than speculative attempts to profit from volatility in public ETH accumulators.
  • Stay updated on news about major players and BitMine’s strategy changes, as large purchases or sales of their treasury can amplify short-term market fluctuations.

Frequently Asked Questions

Why do South Korean retail investors still buy BitMine despite the stock decline?

For many investors, BitMine offers a way to gain enhanced exposure to Ethereum through a stock: the company’s structure and public goal of accumulating ETH create potential for quick profits during momentum surges, despite high risks and large drawdowns.

What makes BitMine attractive in terms of its balance sheet?

BitMine holds a significant amount of Ethereum—about $12 billion—and positions itself as a major public ETH accumulator, making it appealing for those who want indirect Ethereum exposure via stock.

Should an average miner use leveraged ETFs based on BitMine?

Leveraged ETFs provide amplified returns when the market moves favorably but also experience rapid and deep losses during reversals; for most miners with limited risk tolerance, such instruments are not always suitable.

Tags:

#BitMine Immersion Technologies #майнинг Ethereum #Bitcoin mining #Ethereum treasury #South Korean retail investors #криптоакции #BitMine stock #Ethereum exposure