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Ethereum’s validator entry queue surpassed its exit queue over the weekend for the first time in six months, with roughly 745,619 ETH now waiting to be staked compared to 360,518 ETH seeking withdrawal—a reversal that signals renewed confidence in long-term staking commitments.
The shift, which emerged Saturday according to on-chain data from Ethereum Validator Queue, marks a potential tightening of liquid ETH supply as institutional players and protocol improvements drive fresh staking demand while exit pressure fades.
This is the first time in six months that the entry side has overtaken exits, raising questions about supply pressure, long-term holder sentiment and the role of large treasury players in shaping network participation.
Ethereum operates under a proof-of-stake model, requiring validators to lock up Ether to help secure the network. As a result, movements in staking and unstaking queues are often interpreted as sentiment indicators.
A rising ETH validator entry queue is generally viewed as a sign that participants are willing to commit capital for the long term, while a swelling exit queue can suggest preparations to sell.
Abdul, head of DeFi at layer-1 blockchain Monad, pointed to historical patterns in a post on X, noting that similar reversals have preceded major price moves. Reflecting on the last time the queues flipped in June, he wrote that Ether “doubled in price shortly after,” adding a forward-looking note that “2026 going to be a movie.” — Abdul, Head of DeFi, Monad.
In June, Ether traded above $2,800 before rallying to a new all-time high of $4,946 by Aug. 24. As of Monday, ETH was changing hands around $3,018, according to market data. While price action is influenced by multiple factors, analysts often view the ETH validator entry queue as a structural signal tied to supply lockups rather than short-term speculation.
Beyond the growth in new staking, attention has also turned to the shrinking exit line. Abdul described the exit queue as a leading indicator of predictable supply flows entering the market through unstaking, arguing that it has been under persistent sell pressure since July.
“I estimate that around 5% of the Ether supply has exchanged hands since then — this accounts for Kiln’s unstaking in September. Roughly 70% of this unstaked ETH has been absorbed by Bitmine; they now hold 3.4% of the ETH supply,” he said. — Abdul, Head of DeFi, Monad.
Kiln, a major staking service provider, initiated what it called an “orderly exit” of its Ether validators in September following an exploit involving digital asset investment platform SwissBorg. That move added to the exit queue temporarily, but the effect now appears to be fading as demand to stake outpaces withdrawals.
“At its current rate, the validator exit queue will reach 0 on Jan. 3rd — after which I expect the sell pressure on ETH to subside,” Abdul added. — Abdul, Head of DeFi, Monad.
If realized, such a scenario would leave the ETH validator entry queue as the dominant flow, tightening liquid supply available on the market.
Market participants have attributed the surge in the ETH validator entry queue partly to aggressive accumulation by digital asset treasury firms. On crypto-focused social platforms, commentators including Smart Economy Podcast host Dylan Grabowski pointed to companies like Tom Lee-backed BitMine as major buyers and stakers of Ether.
Blockchain analytics firm Lookonchain reported that BitMine staked 342,560 ETH — worth roughly $1 billion — over a two-day period, underscoring the scale of institutional participation now flowing into Ethereum staking.
At the same time, protocol-level changes may be lowering friction for large holders. Ignas, the pseudonymous co-founder of DeFi Creator Studio Pink Brains, suggested the recent Pectra upgrade played a role by improving the staking user experience.
He said the upgrade raised “max validator limits, making restaking easier for large balances.” — Ignas, Co-founder, DeFi Creator Studio Pink Brains.
Ignas also pointed to broader DeFi market dynamics, adding that “DeFi deleveraging when Aave borrow rates increased and stETH loopooors were forced to unwind” may have contributed to earlier exits, setting the stage for the current rebound. — Ignas, Co-founder, DeFi Creator Studio Pink Brains.
Taken together, these factors help explain why the ETH validator entry queue has expanded so rapidly, even as exit demand fades. For now, the reversal underscores a shift in Ethereum’s staking landscape, with long-term commitment once again outpacing withdrawal intent.
