Ethereum Staking Inflows Explode: Entry Queue Now Outpaces Exits

Stakers are piling into Ethereum like never before. The line to get in has officially gotten longer than the line to get out—a bullish signal flashing for the network's long-term health.

The Queue Tells the Story

Forget complex metrics. The simplest indicator—the validator entry queue—just flipped the script. More participants are now waiting to lock up their ETH than are waiting to withdraw it. That's a fundamental shift in sentiment. It signals that confidence in Ethereum's proof-of-stake future isn't just holding; it's actively growing.

What This Means for the Network

This isn't just about numbers on a screen. A swelling staking queue directly strengthens the network's security. More staked ETH means more skin in the game, making the chain exponentially more expensive to attack. It's a virtuous cycle: perceived stability attracts more capital, which in turn creates more stability. Meanwhile, traditional finance still debates whether to buy a single Bitcoin ETF share.

The Bullish Undertow

The surge in demand to stake creates a subtle but powerful supply dynamic. Every new validator in line represents ETH being pulled from the liquid market and locked into the protocol for the long haul. It's a gradual, structural reduction in sell-side pressure—the kind of slow-burn catalyst that underpins sustainable rallies, not just speculative pumps.

The tide for Ethereum is turning in plain sight. The smart money isn't waiting on the sidelines; it's literally waiting in line.

Ethereum Staking Flip Accelerates as Exit Queue Nears Zero

The shift took place over the weekend, when both queues briefly converged NEAR 460,000 ETH.

Since then, the entry line has accelerated rapidly, while some observers suggest the exit queue could soon approach zero if current trends persist.

Abdul, head of DeFi at layer-1 blockchain Monad, pointed to the flip as a historically meaningful signal. In a post on X, he noted that a similar reversal in June preceded a sharp rally in Ether’s price.

At the time, ETH traded near $2,800 before climbing to an all-time high of $4,946 by late August. Ether is currently changing hands around $3,000.

Update:

ETH validator entry queue is now bigger than the exit queue, for the first time in six months

The last time this happened in June, ETH doubled in price shortly after

2026 going to be a movie https://t.co/GWMCjxfigo pic.twitter.com/3dMttYpB4B

Ethereum operates under a proof-of-stake model, requiring validators to lock up ETH to help secure the network.

As a result, changes in staking behavior are often viewed as sentiment indicators. Rising exits can signal intent to sell, while increased staking suggests long-term conviction and reduced near-term supply.

Abdul argued that the exit queue has functioned as a leading indicator of sell pressure throughout 2025.

He estimated that roughly 5% of Ether’s total supply has changed hands since July, a figure that includes a large September unstaking event by staking provider Kiln.

According to Abdul, around 70% of that unstaked ETH was absorbed by BitMine, which now controls approximately 3.4% of the total supply.

Kiln initiated an orderly withdrawal of its validators in September following an exploit involving digital asset platform SwissBorg, framing the MOVE as a precautionary step rather than a loss of confidence in Ethereum.

Validator Exit Queue May Hit Zero, Easing Sell Pressure

Looking ahead, Abdul suggested that if the current pace holds, the validator exit queue could reach zero by January 3.

Such an outcome, he said, WOULD likely ease persistent sell pressure and stabilize market conditions.

Others in the crypto community have pointed to growing demand from digital asset treasury firms as a key driver behind the surge in staking.

Blockchain data tracked by Lookonchain shows that BitMine staked more than 342,000 ETH, worth roughly $1 billion, over a two-day period.

Additional factors may also be at play. Some analysts cite improvements tied to Ethereum’s upcoming Pectra upgrade, which aims to streamline staking and increase validator limits, making it easier for large holders to deploy capital.

DeFi deleveraging, triggered by higher borrowing rates and the unwinding of Leveraged staking strategies, may have further reshaped supply flows.