Ethereum has recently become the focus of the market again, not due to technical upgrades or application explosions, but because of an unprecedented wave of staking 'unlocks'. Data shows that as of last Friday, the queue to withdraw from Ethereum staking has accumulated to 855,158 ETH, worth up to $3.7 billion at current market prices. Such a large amount of ETH waiting to be unlocked has raised concerns in the market: Will there be a strong wave of selling?
Why is there a concentrated 'exit'? Since Ethereum transitioned to a PoS (Proof of Stake) mechanism, staking has become the main way for validating nodes to earn profits. Now, the main reasons behind the concentrated exits are threefold:
Locking in profits: The price of ETH previously approached historical highs, early stakers have made substantial profits and choose to exit to secure their gains.
Diminishing returns: As the number of staking participants increases, the annualized return has been continuously diluted. Some investors believe that releasing ETH for DeFi or direct trading may be more attractive.
Institutional strategy adjustments: If exchanges and large staking service providers (the 'big players') adjust their product strategies or operational directions, it may also trigger concentrated exit behavior.
However, unlocking is not necessarily equivalent to selling:
Capital flow: Some unlockers aim to transfer their ETH to staking solutions like Lido and Rocket Pool that offer higher liquidity, rather than cashing out directly.
Market depth: ETH itself has a huge daily trading volume, and the market has the potential to gradually absorb some selling pressure.
Long-term holders: Many stakers are long-term optimists; exiting staking does not mean they are bearish and will sell immediately. Therefore, although short-term volatility risk has increased, it is still too early to assert that it will 'plummet'.
