Lido stETH seemed to restore its peg to <0.1%, withdraw queue went from 20 days back to 8 days. But it’s not over.
Yesterday, looks like a sudden large influx of ETH (~$400m) flowing into Aave, which brought WETH borrow APY back down to ~3%.
But 3% is just the break-even point for ETH looping.
If the ETH treasury narrative continues, $ETH continues to go up, more ETH whales will be offloading (i.e. keep withdrawing from Aave, won’t be just Justin Sun). This market condition is not suitable to have a levered ETH position (negative carry will get enhanced by looping).
Lido's Unfinalized Withdrawal queue is at a new ATH (excluding the first day when they first supported withdrawal)
Over 235k stETH is pending for withdrawal.
In the past 7 days these entities are trying to withdraw:
- 80k stETH by HTX and Justin Sun;
- 7k stETH by Abraxas Capital (0xed0c6079229e2d407672a117c22b62064f4a4312)
- 5.5k stETH by Jump (0x98629555d323324b9415471033f2745c57b608c6)
- 5.4k stETH by Etherefi
(0xf0bb20865277abd641a307ece5ee04e79073416c)
tagging those who noticed already @tomwanhh
@MarcinRedStone @deepcryptodive
36.09K
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