For those examining the Tea (Party) leaves, Palin's train of thought had been clear since an interview at the end of last month with Greta van Susteren on Fox News, when she suggested that she might feel constrained by the presidency.
"Is a title and a campaign too shackle-y?," she said. "Does that prohibit me from being out there, out of a box, not allowing handlers to shape me and to force my message to be what donors or what contributors or what pundits want it to be? Does a title take away my freedom to call it like I see it and to effect positive change that we need in this country? That's the biggest contemplation piece in my process."
Her withdrawal means the Republican field is set. New Jersey Governor Chris Christie's announcement that he will not seek the nomination means former Massachusetts Governor Mitt Romney will continue to fight for the lead in the polls as the party slides towards an uninspiring and lacklustre choice.
Many in the Republican Party will be breathing a sigh of relief, now that the maverick Palin has decided against running.
But Palin is a double-edged sword: even out of the race, for many establishment candidates running for election or re-election as governors or in Congress, she will remain a potent threat by backing conservative candidates in Republican primaries.
The Tea Party is not finished with America yet.