Bessent Offers Update On Strategic Bitcoin Reserve, Bitmine Continues Buying ETH, and Crypto Mounts Small Rebound

Takeaways

• Bessent offers update on Strategic Bitcoin Reserve: So far, the administration has held crypto assets seized by the government but has not initiated any new purchases. The US currently has 328,372 BTC under its control. "We are moving forward very quickly on that, and part of that is our digital assets initiative, the Strategic Bitcoin Reserve is something, this is new technology, this is new ground, we are proceeding with all deliberate speed,” Bessent said. “We are making sure that as we are doing this in this complicated process, that we use best practices and things will be durable for the future.”
  
  
• Crypto posts small rebound after sell-off: The recent slide comes as institutional investors shed positions in spot bitcoin ETFs and Michael Saylor’s Strategy announced it would sell about $52 million BTC from its bitcoin treasury to fuel dividend payments. Additionally, investors have increasingly turned their attention toward upcoming IPOs and the AI trade, potentially rotating capital away from the digital asset space as a result. As of Wednesday, traders on Gemini Predictions gave it a 53% chance bitcoin will end the week at $64,000 or higher.
  
  
• Bitmine continues ETH buying as losses mount: The company’s goal is to acquire roughly 5% of total ETH supply and stake it, generating annual yield for shareholders. But ether prices have slumped almost 40% this year, pushing the company’s paper losses to nearly $9 billion. “In our view, ETH prices are not reflecting the strengthening of Ethereum fundamentals, but then again, this is not surprising given we are in the early stages of crypto spring,” Bitmine CIO Tom Lee said. “Bitmine is expected to reach the 'alchemy of 5%' sometime in 2026."
  
  
• VC crypto deals drop to lowest mark since 2021: The dip marked the lowest monthly count in five years, reportedly fueled by investors increasingly turning their attention toward AI and other parts of the tech ecosystem. Still, overall VC investment totals in crypto remain “somewhat elevated,” indicating that generalist crypto VC firms are still willing to allocate capital for the right opportunities.

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