BitMine Immersion Technologies has seen some wild volatility this month, with its stock price down 42% since the beginning of January.
The company sparked renewed optimism on Monday after announcing a significant purchase of 69,822 ETH, a move that briefly sent BMNR up 15%. However, despite the rally, no firm reversal signal has emerged yet.
BitMine continues to accumulate ETH
Following BitMine’s massive ETH acquisition, the relative strength index is showing a sharp rise. This purchase represented approximately 3% of Ethereum’s total circulating supply and was a clear signal of confidence from the company. This sparked optimism among investors and pushed the RSI out of oversold territory, the zone that precedes a trend reversal.
Sponsored Sponsored
However, the RSI alone cannot confirm a sustained bullish shift. Although the indicator’s rise suggests improving sentiment, BMNR still needs consistent buying pressure to support a full recovery.
Want more token insights like this? Sign up for Editor Harsh Notariya’s Daily Crypto Newsletter here.
Macro momentum indicators highlight another important area to watch. The Fibonacci retracement tool shows that BMNR is approaching the 23.6% Fib line, a historically important support level during bearish phases. This threshold, located at $31.46, represents a potential pivot point for the stock price.
Retrieving this level as support would strengthen BitMine’s recovery prospects and allow for a more convincing bounce. However, the stock price is still slightly below this mark and will require stronger bullish participation to break through.
BMNR price takes back $30
BMNR is trading at $31.10, above the key support zone at $30.88. Despite the recent ETH-led rally, the stock remains down nearly 42% this month. This positions Monday’s surge as an important but not yet decisive step toward recovery.
If the bullish momentum continues, BMNR may rise towards the resistance level at $34.94. A break above this barrier could pave the way for further upside above $37.27. This is especially true if investors’ confidence in BitMine’s aggressive accumulation strategy increases.
If uncertainty prevails and the company fails to capitalize on the excitement surrounding ETH purchases, BMNR risks losing support at $30.88. Once the breakdown is finalized, the stock could rise to $27.80 or even $24.64. This would invalidate the bullish theory and suggest continued weakness in the near term.
