diff --git a/packages/lexical-text/src/registerLexicalTextEntity.ts b/packages/lexical-text/src/registerLexicalTextEntity.ts
index fb081d69878..b29ae7d2d9f 100644
--- a/packages/lexical-text/src/registerLexicalTextEntity.ts
+++ b/packages/lexical-text/src/registerLexicalTextEntity.ts
@@ -61,7 +61,7 @@ export function registerLexicalTextEntity<T extends TextNode>(
       return;
     }
 
-    const prevSibling = node.getPreviousSibling();
+    let prevSibling = node.getPreviousSibling();
     let text = node.getTextContent();
     let currentNode = node;
     let match;
@@ -100,7 +100,6 @@ export function registerLexicalTextEntity<T extends TextNode>(
       }
     }
 
-    // eslint-disable-next-line no-constant-condition
     let prevMatchLengthToSkip = 0;
     // eslint-disable-next-line no-constant-condition
     while (true) {
@@ -128,12 +127,6 @@ export function registerLexicalTextEntity<T extends TextNode>(
             return;
           }
         }
-      } else {
-        const nextMatch = getMatch(nextText);
-
-        if (nextMatch !== null && nextMatch.start === 0) {
-          return;
-        }
       }
 
       if (match === null) {
@@ -165,6 +158,8 @@ export function registerLexicalTextEntity<T extends TextNode>(
       if (currentNode == null) {
         return;
       }
+      prevMatchLengthToSkip = 0;
+      prevSibling = replacementNode;
     }
   };