The Ethereum staking ecosystem flipped on December 29, as the validator entry queue surpassed the exit queue, signaling a renewed inflow into staking markets. Roughly 745,619 ETH are queued to enter with an estimated 13-day wait, versus about 360,518 ETH queued to exit with an 8-day wait.
Data from validator queue trackers reported on December 29, show the entry queue at about 745,619 ETH and the exit queue at about 360,518 ETH, implying that new staking demand is nearly double withdrawal requests. Earlier in 2025 the exit queue swelled above 2.4 million ETH—valued at more than $10 billion—with withdrawal wait times stretching to 41 days; the current reversal is the first sustained period since June 2025 in which entries outnumber exits.
Analysts cited in market reports interpreted the flip as a sign of easing sell pressure and growing conviction among holders that yield and long-term network value justify locking ETH into staking positions.
Large, concentrated deposits have been a major driver of the entry surge. Reported movements include a deposit of approximately 74,880 ETH (about $219 million at the time of reporting) by a major holder and separate data showing an entity staking roughly 342,000 ETH—about $1 billion—over two days.
These large deployments reflect growing participation from treasury managers and institutional allocators seeking staking yields and simplified custody arrangements.
Drivers: institutional inflows and protocol developments
Contributing to demand is anticipation of a protocol upgrade designed to ease staking operations. The Pectra upgrade aims to increase the maximum stake per validator from 32 ETH to 2,048 ETH, which reduces the operational overhead for large holders and makes bulk staking more attractive. The combination of concentrated institutional deposits and the prospect of higher per-validator limits helps explain why entries have accelerated despite earlier large exit pressure.
The queue flip is informative but not definitive. Heavy staking by a few large entities can skew queue statistics and may obscure broader retail sentiment; concentrated flows therefore require careful interpretation. Historical precedent shows a correlation—an entry-overtakes-exit reversal in June 2025 preceded a substantial price rally—but past outcomes do not guarantee future performance.
Protocol queue mechanics themselves are designed to preserve network resilience by pacing entries and exits, so short-term queue swings do not immediately alter security or finality. The entry-overtakes-exit development marks a clear shift toward net staking demand, driven by large deposits and expectations around Pectra.
