Ethereum's staking ecosystem reaches new heights as over 877,000 Ether await withdrawal, potentially affecting market dynamics.
Increase in Queued Ether Withdrawals
Currently, 877,106 Ether (ETH) worth approximately $3.88 billion are queued for withdrawal, with a wait time of 15 days. ValidatorQueue data shows that the number of active validators has surpassed 1.08 million, with 29.5% of the total ETH supply staked, totaling about 35.3 million ETH.
Surge in Strategic Reserves and ETFs
DeFi analyst Ignas pointed out that the spike in unstaked ETH is largely driven by three major liquid staking platforms. Lido leads with 285,000 ETH queued for withdrawal, followed by EthFi with 134,000 ETH and Coinbase with 113,000 ETH. Since May 1, combined holdings of strategic reserves and ETFs have surged by 140%, rising from 4,140,953 ETH to 10,008,263 ETH, underscoring a swift consolidation of Ether supply among major institutional and corporate players.
Impact on Ether Price and Liquidation Risks
The high number of queued ETH could have a mixed impact on Ether's pricing. If institutional flows remain stable, ETH could hold its ground and even rise further. However, if those inflows slow down, the backlog of unstaked ETH could drag down the market. Currently, Ether's price hovers around $4,500, but dropping below $4,200 could pose liquidation risks, with over $1.2 billion in long positions at risk.
The situation in the Ether market remains under pressure, yet impressive staking figures and ETF resources may influence future price movements.
