Victoria has recorded 7,172 new COVID-19 cases and three deaths.
There are now 31,461 active cases of the virus, and 715 people have died in the current outbreak.
Hospitalisations have risen in the past day, from 451 on Saturday to 472 today, taking the seven-day average to 424.
The figure includes 52 patients in intensive care, with 22 patients on a ventilator.
The health department said a further 46 patients were in ICU but their infections were no longer considered active.
It marks the first decrease in daily case numbers for Victoria since December 25.
However, testing figures dropped sharply over New Years Day, with just 48,252 test results recorded compared to 63,026 tests recorded on January 31.
Testing sites were closed around the state due to hot weather conditions.