TLDR
- Ethereum’s validator exit queue has surpassed $4 billion as staking withdrawals increase.
- The queue grew from 640,000 ETH to over 910,000 ETH in just two weeks.
- Nearly 29.45% of the total Ethereum supply, or 35.3 million ETH, is currently staked.
- New staking demand for Ethereum stands at approximately $1.09 billion.
- Analysts speculate that some investors are unlocking liquidity to re-enter through staking Ethereum ETFs.
The Ethereum validator exit queue has now surpassed $4 billion, with withdrawals on the rise as the price of ETH pulled back. Over recent weeks, Ethereum validators have been exiting at an accelerated rate, largely driven by liquid staking platforms such as Lido, EthFi, and Coinbase. As a result, Ethereum’s price has seen a pullback of over 10% after facing rejection at $4,800 last week.
Validator Exits Surge Amid Price Correction
The Ethereum validator exit queue has been growing rapidly, reaching 910,461 ETH, valued at $3.9 billion. In just two weeks, the queue has expanded from 640,000 ETH to the current levels. Data from Validator Queue shows that there is currently a 15-day waiting period for ETH exits, with the number of active validators now at 1.08 million.
Currently, nearly 29.45% of the total ETH supply, or 35.3 million ETH, is staked. While staking withdrawals are on the rise, the demand for new Ethereum staking is much lower. As of now, new staking demand stands at only 258,951 ETH, worth approximately $1.09 billion.
The Ethereum market is seeing profit-taking, which is reflected in the growing queue of unstaked ETH. This trend suggests that many investors are unlocking their staked ETH, possibly to sell or reallocate their positions. Despite the outflow, spot Ethereum ETFs and ETH treasury firms have absorbed much of the selling pressure.
Ethereum Staking ETFs: Are They the Next Big Thing?
The recent surge in Ethereum staking withdrawals could indicate larger market shifts. Analysts speculate that some investors might be unlocking liquidity now with plans to re-enter via staking Ethereum ETFs. BlackRock’s recent filings for the iShares Ethereum Trust (ETHA) point to a potential future where investors can gain exposure to Ethereum staking without directly participating.
If the U.S. Securities and Exchange Commission (SEC) approves Ethereum staking ETFs, it could pave the way for more institutional investment in Ethereum. Despite the SEC’s final approval deadline of April 2026, some analysts suggest a decision could come sooner. According to Bloomberg ETF analyst Seyffart, the SEC may make its decision by October 2025.
As Ethereum faces increased staking withdrawals and market fluctuations, it remains to be seen how ETFs will impact the overall market. However, Ethereum’s potential as an investment vehicle continues to attract significant attention from both institutional and retail investors.
