3 million ETH enters staking as validator exit queue hits zero

Ethereum staking inflows reached 3 million ETH as the validator exit queue that spooked markets in September 2025 returned to zero, on-chain data show.

The exit queue fell to zero as of June 12, according to Glassnode data, after peaking at more than 8,000 validators waiting to exit in September 2025. Staking participation simultaneously hit a record 32.7%, per Dune Analytics, locking up an additional 3 million ETH across the network.

ETH traded at $1,790.72 as of 10:48 UTC on June 16, up from its over-one-year low near $1,500 in early June, CoinGecko data show. US spot Ethereum ETF outflows slowed to $14.9 million in the most recent week from $241 million in late May, per CoinDesk, as BlackRock's ETHA attracted fresh inflows that offset continued Grayscale withdrawals. A 17-session outflow streak ended on June 5 when ETHA recorded $19.3 million in net inflows.

The vanishing exit queue and record staking participation reduce Ethereum's available supply at a time when institutional demand is stabilizing. Ethereum's Glamsterdam upgrade, described by core developer Parithosh Jayanthi as "probably the largest fork we've had since the Merge," entered its final development stage this week, with deployment expected in the second half of 2026.

The 3 million ETH entering staking contracts removes tokens from circulating supply as corporate buyers accumulate. Bitmine added 111,942 ETH in June, bringing its holdings to 5.4 million ETH, per CoinDesk. MARA Holdings reversed its earlier selling pattern, buying 1,000 BTC for about $66.7 million, while Strategy added another 1,587 BTC, showing broader institutional appetite for digital assets.

Standard Chartered maintained its year-end Ethereum price target of $7,500, while Fundstrat's Tom Lee set a bull-case target of $12,000 this cycle. Lee's thesis runs through $1,942, then $2,409, then $3,000 if the Glamsterdam hard fork delivers in the third quarter, according to a June research note. Bitmine, which holds 5.4 million ETH after its latest purchases, set a long-term target of $250,000.

The supply dynamics mirror conditions that preceded previous Ethereum rallies. When staking participation rises and exit queues vanish, the available supply on exchanges contracts, creating conditions for a supply squeeze if demand continues to recover. Tokenized real-world assets on Ethereum reached $16.6 billion in June, up 315% from early 2025, per CoinMarketCap, adding another demand vector for ETH as collateral.

The Glamsterdam upgrade adds a structural catalyst. Developers are running devnets containing the full suite of Ethereum Improvement Proposals slated for the fork, including enshrined Proposer-Builder Separation (EIP-7732) and Block-level Access Lists (EIP-7928). The upgrade also includes sweeping gas repricings that developers say will make high-level compute cheaper and state access more expensive, changes designed to improve efficiency and zero-knowledge proving compatibility.

This article is for informational purposes only and does not constitute investment advice.