The Ethereum validator exit queue is expected to surge due to Kiln Finance's announcement to exit all Ethereum validators following a hack involving its staking partner, SwissBorg. While a large volume of unstaked ETH can be seen as a bearish signal, Ethereum educator Anthony Sassano reassured that the unstaked ETH will likely be restaked with new validator keys rather than sold. Currently, there are approximately 1.63 million ETH awaiting exit, constituting around 29.36% of the total supply already staked. The orderly exit process by Kiln is a precautionary measure aimed at protecting client assets, responding to the exploitation of an API vulnerability that led to a drain of Solana tokens from SwissBorg's Earn program. Kiln anticipates that the exit process may take between 10 and 42 days. As of now, Ether is trading at $4,306, while the exit queue's size reflects ongoing fluctuations in staking activity within Ethereum's proof-of-stake network.

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