Ethereum (ETH) suffers a 51.3% decline in 2025 due to increased whale sell-offs contributing to bearish market sentiment. Large holders are liquidating their assets, with a notable decrease in high-net-worth addresses. Dormant whales are reactivating, adding further uncertainty. Although some analysts remain optimistic about Ethereum’s recovery through upgrades, challenges and competition loom large.
Ethereum (ETH) is currently experiencing a considerable decline, with a decrease of 51.3% in value since the outset of 2025. This downturn is primarily exacerbated by increased selling activity from large ETH holders, termed ‘whales’. Their actions have led to a bearish market sentiment, raising concerns regarding Ethereum’s future price trajectory among both investors and analysts.
Recent data indicates a significant rise in sell-offs by large Ethereum holders. Notably, on April 14, a whale deposited 20,000 ETH, valued at approximately $32.4 million, onto the Kraken exchange, suggesting a forthcoming sale. This whale retains 30,874 ETH, equating to $50.7 million. Additionally, a long-term holder from the 2015 ICO sold 632 ETH for around $1 million in a single transaction, reinforcing the trend of large investors liquidating their assets.
In tandem with these sell-offs, there has been a concerning decrease in the number of high-net-worth Ethereum holders. According to Glassnode, addresses possessing at least $1 million in ETH have decreased significantly, reflecting diminished confidence among affluent investors. This trend suggests a broader lack of interest and belief in the cryptocurrency’s price performance.
Moreover, previously dormant whales are now beginning to liquidate their holdings. One such whale, having operated dormant from 2020 to 2023, deposited 1,000 ETH to Binance on two separate occasions in April 2025. The activity of these previously inactive accounts adds to market uncertainty, indicating that even long-term holders are losing faith amid Ethereum’s current underperformance.
Market sentiment for Ethereum is further troubling, with only 36.1% of Ethereum addresses currently profitable. This statistic highlights the challenges many holders face as ETH’s value remains significantly beneath past highs. Despite some recovery, Ethereum’s fragile position and the ongoing lack of investor inflows exacerbate prevailing pessimism.
Certain analysts have likened Ethereum’s current challenges to the decline of Nokia in the late 2000s, fearing competition from faster, more scalable platforms like Solana (SOL). While Ethereum has historically dominated, there are concerns that slow technological adoption and high gas fees could jeopardise its market share.
Contrarily, some analysts maintain an optimistic outlook, citing Ethereum’s potential for recovery driven by impending technological upgrades and the possibility of an undervalued market. Despite existing struggles, Ethereum retains its influence within the decentralized finance (DeFi) space, with developments like Ethereum 2.0 potentially helping to restore investor confidence and halt the downward spiral.
In summary, Ethereum’s ongoing difficulties in 2025 underscore the significant impact of whale sell-offs and investor sentiment on its price trajectory. While some analysts remain hopeful for recovery, uncertainties remain prevalent, and Ethereum must navigate both internal and external challenges to sustain its market position. The upcoming months are crucial in determining if Ethereum can regain momentum or continue to decline further.
