Would I have to hatch egg during this event to get the extra 1-2 candies?

Get up and start walking m8. I'd go and hatch it just for an extra 2k before this event is over.

Yes

I disagree..... Walk all of your 2K's out first and refill before the event is over.
You will be giving up only a few candies per egg, but you can get 5 2K eggs in the same time as 1 10K eggs. Picking up 5 more eggs befor ethe event is over. The Mon in the egg won't change, so you are still guaranteed to get one of the 6 that are currently spawning from the 10K whenever you hatch it.
You might get lucky and pick up another 10K before the end of the event.