So, what the whole Aether Wave Theory (AWT) is about? The AWT doesn't explain, what the reality is. It just assumes, every piece of reality is composed of many other pieces, recursively. These pieces are required to behave like colliding particles to become observable. So we can extrapolate the behavior of large set of such entities by the model of Boltzmann gas, composed of inertial particles. These particles aren't required to be observable directly, but they're forming the density fluctuations, which are observable already.

We can explain this idea by the example of dense condensing gas or supercritical fluid. We aren't required to see the individual molecules, but the density fluctuations of these molecules are apparent for us.

We can apply the same concept on the resulting fluctuations, which are behaving here as a new generation of particles and we can repeat the whole explanation again on higher level. By AWT the reality is formed by nested field of fluctuations, which are created by other fluctuations, recursively. The level of this recursion is virtually unlimited (albeit we can deduce some practical limits of this concept later). And we are living inside of one level of such fluctuations, which corresponds the current Universe generation.

Under thorough observation we can even observe the signs of such behavior inside the condensing supercritical fluid. At the moment of condensation, the density fluctuations of fluid are so massive, they can behave as a new particle generation and they can form another level of fluid with its own surface, as depicted on the right animation.

The Aether Wave Theory just extrapolates this real-life example to the infinite density and infinite number of particle condensation levels. As we can demonstrate later, despite of its simplicity, the behavior of such system can be infinitely complex and this trivial concept is surprisingly powerful with respect to explanation of many different aspects of modern physics without introducing of additional ad-hoc assumptions and/or abstract postulates.