BitMine Immersion Technologies Inc. (BMNR) is giving back some gains on Friday, with shares slipping nearly 5% in premarket trading as investors cash in after Thursday's impressive 14.7% jump. The pullback comes alongside a 2.33% drop in Ethereum (ETH) over the past 24 hours, bringing it to $2,449.94. Meanwhile, Nasdaq futures edged up 0.05%, while S&P 500 futures dipped 0.23%.
The recent enthusiasm was fueled by B. Riley Securities, which maintained a Buy rating on BitMine and raised its price target to $30 on Thursday.
Ethereum Bet Remains In Focus
BitMine's strategy is heavily tied to Ethereum. The company has accumulated more than $14 billion worth of the cryptocurrency and aims to eventually own 5% of Ethereum's total supply. To support its position, BitMine authorized up to $4 billion in share repurchases and has already bought back nearly 20 million shares when the stock traded below $15.
BitMine Chairman Tom Lee remains bullish on Ethereum. Speaking on the Milk Road Show on Aug. 28, Lee called Ethereum "vastly undervalued" and described its move to $2,500 as a "course correction." He highlighted tokenization and AI agents as potential long-term growth drivers. Lee also suggested Ethereum could reach about $6,000 if Bitcoin (BTC) climbs to $150,000 and the ETH-to-BTC ratio returns to 0.04.
BitMine Technical Analysis
Despite Friday's decline, BitMine's technical picture remains largely positive. The stock is trading 16.5% above its 20-day simple moving average of $21.62 and 12.7% above its 200-day SMA of $22.35. It also sits above its 50-day and 100-day averages. The MACD is above its signal line, and the histogram is positive, both pointing to bullish momentum.
However, there's a lingering concern: the 50-day SMA remains below the 200-day SMA following a death cross in January. That could keep longer-term traders cautious. Traders may watch $27 as potential resistance and $20 as a key support level.
MarketDash Edge Rankings
MarketDash Edge gives BitMine a Momentum score of 70.79, indicating relatively strong price momentum.
BMNR Price Action: BitMine shares fell 4.88% to $25.16 in Friday premarket trading, according to market data.
