Ethereum (ETH) is facing a price correction amid a larger market dip. According to CoinGecko data, ETH’s price has fallen 1.3% in the last 24 hours, 1.5% in the last week, and nearly 4% in the 14-day charts. However, the second-largest cryptocurrency by market cap has maintained a 14.1% rally in the monthly charts and 26.6% since late April 2025. Let’s discuss what could be behind ETH’s latest price dip.

Why Is Ethereum Facing A Price Correction?

Ethereum’s (ETH) latest price dip comes amid a market-wide decline. Bitcoin (BTC) climbed to the $79,000 mark on April 27, but has since fallen to the $76,000 level. BTC’s price correction may have triggered a market-wide dip. Bitcoin (BTC) is the market leader, and other assets tend to follow its trajectory.

Ethereum’s (ETH) price correction comes in tandem with whales moving more than $100 million worth of coins to exchanges. The movement of assets from wallets into exchanges is usually considered bearish as it increases the chances of them being sold.

The whales’ decision to move large amounts of Ethereum (ETH) to exchanges could be part of a larger de-risking strategy ahead of Wednesday’s FOMC (Federal Open Market Committee) meeting. According to CME FedWatch data, there is a 100% chance of interest rates being unchanged after the FOMC meeting. Higher rates often lead to less risk among investors. Ethereum (ETH) and other cryptocurrencies of among the riskiest assets, and hence may have taken a hit.

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However, the Federal Reserve is set to welcome Kevin Warsh as the new chair in May of this year. Warsh is expected to give in to President Trump’s requests for lower interest rates. Moreover, the US may pass the Clarity Act next month as well. Both development could potentially lead to a bullish outlook for investors. Ethereum (ETH) may benefit from such a development.