"sudden large decrease," 1920, a figurative extension from the literal sense in airplane flying, "a sudden, rapid, nose-first descent," which is attested by 1912, from nose (n.) + dive (n.). As a verb from 1915. Related: Nose-dived.
Norwegian
nose
nose job
nose-bag
nose-bleed
nose-dive
nosegay
nose-ring
nosey
nosh
no-show