Ethereum’s validator entry queue has flipped past the exit queue for the first time in weeks, signaling renewed interest in staking and a cooling of near‑term sell‑off worries. According to validatorqueue.com, there are currently 932,936 ETH (about $4 billion) in the entry queue versus 791,405 ETH (roughly $3.3 billion) awaiting exits.
Three weeks ago the exit queue peaked near 816,000 ETH, prompting concerns that a wave of unlocked tokens could flood markets. The recent turnaround was driven in part by a long‑dormant Ethereum ICO participant who moved 150,000 ETH (≈ $645 million) into staking this week. That investor originally purchased 1,000,000 ETH in Ethereum’s 2014 token sale for about $310,000; after staking they still retain roughly 105,000 ETH (≈ $451 million) across two wallets.
Price action since Aug. 15 — when the exit queue hit its high — has been relatively muted. Ether is down about 4% over that stretch, compared with roughly 7% for bitcoin and larger declines among many altcoins. The data suggest that staking (which removes supply from circulation) and potential structural demand from spot‑ETH ETFs are helping absorb selling pressure.
Ethereum’s proof‑of‑stake design is acting as both a release valve for nervous holders and an attractor of capital seeking yield. As one DeFi analyst observed in August, “While the unstaking queue is at ATH, so are ETF inflows.” With entries rising and exits cooling, the balance of incentives may be tilting back toward long‑term staking as a strategic bet on Ethereum’s future growth.
That said, investors should remain cautious. Staking commitments and queued exits still create timing and liquidity risks: queued exits can translate into selling pressure when processed, staking rewards are variable and not guaranteed, and crypto markets remain volatile. Monitor queue metrics, ETF flows and market liquidity before adjusting allocations.
Source: CoinDesk. Read the original coverage for full details.