Finance

Whales Buy the Dip: How Ethereum and Crypto Giants Navigate Trump Tariffs and Powell’s Skepticism

Crypto whales are buying the dip in Bitcoin/Ethereum, despite market downturns influenced by tariffs and Fed remarks.

byAndres Castro

November 4, 2025, 8:30 AM

A silver physical Ethereum coin resting on top of a hundred-dollar bill, symbolizing the contrast between cryptocurrency and fiat money.

A physical Ethereum coin placed on US dollar bills, representing digital currency versus fiat. By MDL.

Executive Summary

Global “whales” are viewing the current cryptocurrency market downturn as a prime buying opportunity, significantly increasing their acquisitions of digital assets.

The cryptocurrency market has experienced substantial price drops for Bitcoin and Ethereum, primarily driven by President Donald Trump’s tariffs and skeptical remarks from Federal Reserve Chair Powell.

While companies like Bitmain and Sharplink Gaming are increasing Ethereum holdings, and Evernorth Holdings is stockpiling Ripple, sustained institutional demand is emphasized as crucial for a full market recovery.

The Story So Far

The cryptocurrency market is currently experiencing a significant downturn, with major assets like Bitcoin and Ethereum seeing substantial price drops, primarily driven by President Donald Trump’s imposition of tariffs and skeptical remarks from Federal Reserve Chair Powell regarding a potential interest rate cut. Despite this slump, major holders and institutional players, known as “whales,” are viewing the situation as a prime buying opportunity, leading to increased acquisitions of various digital assets, though sustained institutional demand is considered crucial for a full market recovery.

Why This Matters

The current cryptocurrency market downturn, influenced by factors such as President Trump’s tariffs and Federal Reserve remarks, is being strategically leveraged by major “whale” investors as a buying opportunity, signaling their long-term confidence in digital assets. While this significant accumulation by large holders, including anticipation of Ripple ETFs, suggests potential for a future market rebound, sustained broader institutional demand remains crucial for a full recovery, highlighting the growing interplay between traditional economic policies and the crypto market’s trajectory.

Who Thinks What?

Global “whales,” including companies like Bitmain, Sharplink Gaming, and Evernorth Holdings, view the current cryptocurrency market downturn as a prime buying opportunity and are significantly increasing their acquisitions of digital assets.

President Donald Trump’s tariffs and Federal Reserve Chair Powell’s skeptical remarks regarding an interest rate cut are seen as key factors contributing to the cryptocurrency market’s recent decline and dampening investor sentiment.

Strategy, the world’s largest Bitcoin holder, has reportedly reduced its Bitcoin purchase volume, while industry experts emphasize that sustained institutional demand, particularly from ETFs and major players like Strategy, is crucial for the cryptocurrency market’s recovery.

Amid a challenging year-end for the cryptocurrency market, global “whales”—major holders and buyers of digital assets—are reportedly viewing the current downturn as a prime buying opportunity, significantly increasing their acquisitions. This comes as Bitcoin and Ethereum have seen substantial price drops from their recent peaks, driven by factors including President Donald Trump’s tariffs and skeptical remarks from Federal Reserve Chair Powell.

Market Downturn and Key Price Movements

While traditional stock markets reach new highs, the cryptocurrency market is experiencing a period of decline. Bitcoin was trading at $1,064,000 on November 4, down 14.2% from its all-time high of $1,240,000 recorded in October. Ethereum has also fallen to $3,576.39, marking an approximate 25% drop from its August 22 peak, with the critical support level of $3,600 having collapsed.

Altcoins such as Ripple (XRP) and Solana are similarly trading 20–30% below their recent highs. Historically, October has been known as “Uptober” due to typical price increases, but this year saw a reversal following President Donald Trump’s tariff imposition on October 11, which coincided with a market plummet.

Further dampening investor sentiment were recent skeptical remarks from Federal Reserve Chair Powell regarding the possibility of an interest rate cut in December, contributing to the market’s struggles.

Whale Activity and Institutional Strategy

Despite the broader market slump, companies with significant altcoin holdings are actively increasing their positions. Bitmain, recognized as the world’s largest Ethereum holder, announced the acquisition of an additional 40,036 Ethereum, bringing its total estimated holdings to 3,160,000. Sharplink Gaming, the second-largest Ethereum holder, also added 19,271 Ethereum on October 21.

A growing trend involves companies strategically stockpiling Ripple (XRP), anticipating the potential approval of a Ripple-based exchange-traded fund (ETF) in the U.S. On November 1, Evernorth Holdings, an institutional asset manager focused on Ripple, listed on Nasdaq and initiated a $1 billion Ripple stockpiling plan.

However, not all major players are increasing their exposure. Strategy, the world’s largest Bitcoin holder, reportedly reduced its Bitcoin purchase volume, adding only 397 Bitcoin last week—its smallest acquisition in recent years, according to CoinTelegraph.

Outlook for Recovery

Industry experts emphasize that sustained institutional demand is crucial for the cryptocurrency market’s recovery. Joo Ki-young, founder of CryptoQuant, stated that current demand is primarily driven by two channels: ETFs and Strategy. He suggested that a resurgence in their buying momentum could revive the market’s upward trend, indicating that while whales are buying the dip, broader institutional commitment remains key to a full rebound.