Buy the Blood? Ethereum Dominance Falls to 7.3%, Sparking Bullish Analyst Calls

Andrew Chen | Updated on April 17, 2025
Ethereum

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Ethereum (ETH) dominance has plunged to its lowest point in five years, triggering mixed sentiment in the crypto community. However, seasoned analysts are interpreting this sharp decline as a rare accumulation opportunity.

According to crypto analyst Rekt Capital, Ethereum dominance (ETH.D)—which measures ETH’s market cap relative to the entire crypto market—has fallen from 20% in June 2023 to just 7.3% in 2025. Historically, such dips have marked reversal points. “Can Ethereum repeat history?” Rekt Capital asked, pointing to a long-standing green support zone where ETH.D has previously rebounded.

Fellow analyst CryptoAnup echoed this optimism, calling the current situation a “can’t-miss opportunity.” He emphasized that ETH.D hitting a floor often signals the beginning of a new growth cycle. “ETH Dominance seems to have found a floor—rebound soon!” he noted.

Yet not all metrics are bullish. BeInCrypto reports that Ethereum whales—wallets holding between 100,000 and 1 million ETH—sold 1.19 million ETH this week, valued at over $1.8 billion. These large-scale sell-offs are exacerbating Ethereum’s price decline and suppressing its dominance.

On-chain data paints a grim but potentially opportunistic picture. Glassnode revealed that only 40% of ETH supply is currently in profit—the lowest since the previous bear market. Analyst Venturefounder argued that this drop below the last cycle’s bottom is historically significant. “Looking on-chain, this is already signal to deploy,” he said.

Further strengthening the bullish case, Ethereum’s market value has now aligned with its realized value—a rare occurrence that traditionally signals market bottoms. “Looking at this ETH long-term chart. Does it make you want to buy or sell Ethereum? Be honest,” Venturefounder challenged investors.

Also Read: Is Ethereum Undervalued? Gas Usage Surges as Price Struggles, Institutional Confidence Grows

Despite ETH’s 60% drop from its 2024 highs, fundamentals remain strong. Ethereum remains the top DApp platform, generating over $1 billion in fee revenue in Q1 2025. Upcoming network upgrades, including Pectra and Fusaka, could further enhance its utility and investor confidence.

For seasoned investors, Ethereum’s 5-year dominance low may not be a warning—rather, it could be the signal they’ve been waiting for.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.

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