Ethereum holders are increasingly lining up to unstake their tokens, with the Ethereum blockchain's validator exit queue hitting a record 855,158 ETH, valued at approximately $3.7 billion. This trend could impose substantial sell pressure on Ethereum, particularly following its recent price spike, where it nearly approached its all-time high. Analysts suggest that the large volume of unstaked ETH could trigger downward pricing pressures if it overwhelms new demand, especially if staked ETH trades at a discount to the regular ETH. The queue for unstaking is expected to take about 15 days to clear. While some analysts express concern that this could lead to retrenchment in ETH pricing, others argue that such unstaking generally doesn't initiate drastic price drops but may act as a consistent supply tap, impacting prices if demand fluctuates significantly. The current market situation is compounded by external factors such as geopolitical uncertainty and inflation data, following which ETH's price has retraced significantly.

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