Ethereum Price Jumps 4% as Tom Lee Predicts $250K ETH, BitMine Eyes Stock Split

The Ethereum price is up 4% in the last 24 hours, trading at $3,122, as daily trading volume jumped 119% to $24.5 billion.

This comes as Tom Lee, chairman of Ether-focused company BitMine, wants shareholders to approve a big increase in the company’s authorized shares, from 50 million to 50 billion. He says this is needed in case Ethereum’s price rises sharply and BitMine needs to split its stock in the future.

Lee explained that BitMine’s share price closely follows Ethereum. He believes ETH could one day reach $250,000 if Bitcoin hits $1 million. If that happens, BitMine shares could rise to around $5,000 each, which would be too expensive for most retail investors.

To keep the stock affordable, Lee says BitMine would need to do a large stock split, possibly 100-to-1, to bring the share price back to around $25. That kind of split would require billions of shares to exist. He stressed that approving more authorized shares does not mean the company will issue them right away, it only allows flexibility in the future.

BitMine shifted from Bitcoin mining to an Ethereum treasury strategy in 2025. The company now holds over 4 million ETH, worth more than $12 billion, and has started staking ETH to earn yield.

Many people on social media criticized the plan, saying it looks dilutive and unnecessary right now. Lee responded that the move is meant to deal with “unit bias,” where investors focus on cheap-looking share prices instead of long-term value.

Ethereum Holds Above $3,100 as Bullish Momentum Strengthens

ETH/USDT price action shows a clear bullish structure on the 4-hour chart, supported by strong momentum. ETH is trading around the $3,120 level, continuing a steady recovery after spending several weeks in a consolidation phase.

The chart highlights a major support zone between $2,700 and $2,850, labeled as a consolidation area. This zone acted as a strong base where buyers repeatedly stepped in, preventing further downside. Price respected this support multiple times, showing strong demand and confidence from buyers.

From this area, ETH began forming higher lows, signaling a shift from bearish pressure to bullish control. A visible parabolic curve on the chart shows a gradual but steady upward move. This pattern suggests accumulation rather than a sudden spike, which is often healthier for sustained gains.

ETH has now broken above the key psychological level at $3,000, which is acting as short-term support. Holding above this level is important for the bullish trend to remain valid.

ETHUSD Chart Analysis. Source: Tradingview

On the upside, the chart shows a clear resistance zone around $3,400 to $3,500. This area previously rejected price and could slow down the next move higher. If ETH maintains momentum above $3,100 and volume remains strong, a retest of this resistance zone is likely. A clean breakout above it could open the door for a stronger rally.

The RSI (14) is currently around 78, placing ETH in overbought territory. This indicates strong buying momentum but also suggests the possibility of a short-term pullback or sideways consolidation before the next upward move.

An overbought RSI does not mean an immediate reversal, but traders should expect brief corrections. ETH remains bullish as the price remains long above the $3,000 support level. Any short-term dips toward support could attract buyers, keeping the broader upward trend intact.

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