Despite the prevailing bearish sentiment in the Ethereum market, the ongoing dip has sparked a buying frenzy among large-scale investors, commonly referred to as whales. As the second-largest cryptocurrency by market cap, Ethereum’s dominance has experienced a significant decline, hitting an all-time low of 8%. The altcoin has seen a 46% drop in its price over the past year, underperforming its primary counterpart, Bitcoin.
This downward trend has been attributed to a number of factors, most notably a continuation of the sell-off pressure on risk assets and ongoing trade tariffs. These factors have also contributed to the volatility observed in Bitcoin and equities markets. This assessment was made by Rekt Capital, a well-regarded cryptocurrency analyst, who noted that Ethereum’s dominance has been on a steady decline since June 2023, dropping from 20% to its current 8%.
Despite this downward trend, the analyst posits that Ethereum’s market cap dominance has historically rebounded whenever it has dipped to current levels. If this historical trend repeats itself, Ethereum could be poised for a significant upward trend. In support of this prediction, large-scale investors, or whales, have been taking advantage of the dip to increase their holdings in Ethereum.
According to data from IntoTheBlock, the number of large transactions has seen a significant surge, jumping from 4.41k on April 2 to over 4.61k on April 4. In the past week, large transactions have averaged 5.5k. On-chain data further reveals that three whale wallets have purchased over $40 million worth of Ethereum in the past 24 hours alone.
One such whale set up a new wallet and invested a staggering $20.78 million to purchase 11,463 Ether at $1,813 within a mere 6 hours. This same whale has been aggressively buying Ether since March 26, 2025, acquiring 4,100 Ether at $1,785, adding to their total haul of 33,441 Ether, purchased for over $65.5 million at an average price of $1,959.
With these large-scale purchases taking place amid the ongoing dip, it remains to be seen whether Ethereum will indeed rebound in line with historical trends. For now, the whales seem to be betting on a positive outcome, displaying confidence in the altcoin’s potential for growth. Only time will tell if their investments will yield the desired returns.
