Ethereum validator exit queue nears zero as staking demand rises

The Ethereum network's validator exit queue has fallen back toward zero for the first time since July last year, which could reduce selling pressure, analysts say. Beaconcha.in data show the current exit queue is just 32 Ether (ETH) with a wait time of around a minute. The exit queue is down 99.9% from its mid-September peak of 2.67 million ETH, while the entry queue has reached 1.3 million ETH — its highest level since mid-November — signalling renewed interest in staking.

The ETH staking exit queue is “basically empty,” said Asymetrix chief technology officer and ETHKyiv founder Rostyk. “No one wants to sell their staked ETH,” he added. Tevis, founder of the AlphaLedger trading app, said: “ETH exchange reserves are at ten-year lows. Selling pressure is drying up, and now we’re seeing validator entry queue far outpace exit queues (driven by BitMine and ETFs staking their ETH for yield.” Unstaking is sometimes seen as a sign validators want to free assets for sale, change yield opportunities, or rebalance, while staking is viewed as locking up ETH for long-term holding.

The validator exit queue rate-limits voluntary or slashed exits to prevent sudden mass departures; validators remain active, earning rewards but risking penalties while queued. A zero exit queue means there is no backlog of validators waiting to initiate full exits, so new exit requests can process immediately.

BitMine has been aggressively staking in recent weeks, first staking on Dec.

Key Topics

Crypto, Ethereum, Bitmine, Validator Exit Queue, Eth Staking, Beaconcha.in