Ethereum Action: SharpLink invests $200 million in Linea!

Ethereum Action: SharpLink invests $200 million in Linea!

As of October 28, 2025, the price of Ethereum (ETH) today is $3,970. In a strategic initiative, SharpLink Gaming (SBET) plans to invest $200 million in ETH in consensus-based Layer 2 solution Linea to optimize treasury returns. This collaboration includes EtherFi, EigenLayer and Anchorage Digital Bank, which acts as escrow partner for the deployment process. The announcement was made all the more celebratory when SharpLink announced that it had already staked a large portion of its ETH holdings in order to increase returns through so-called restaking rewards.

SharpLink, chaired by Joseph Lubin, who also serves as co-founder of Ethereum and CEO of ConsenSys, recently purchased 19,271 ETH and now holds a total of 859,853 ETH. This makes the company the second largest digital asset trustee after BitMine (BMNR). Despite these emerging plans, investors are showing concerns about Ethereum Treasuries. For example, ETHZilla sold portions of its ETH holdings to fund a share buyback program.

Current market development

Following this news, ETH price fell below the $4,100 mark, despite market recovery efforts. In the last 24 hours, Ethereum recorded over $121.8 million in liquidations, with $93 million coming from long positions. These developments are putting pressure on the ETH price, which, after a rejection at the resistance level of $4,270, is now threatening to head towards the support at $3,800.

Analysis shows that in order to test the critical point of $4,500, Ethereum must not only overcome the resistance at $4,270 but also break the descending trend line. Currently, both the Relative Strength Index (RSI) and the Stochastic Oscillator (Stoch) indicate a downward trend, which further reinforces the bearish tendencies in the market.

In a climate characterized by high volatility, the maturity of SharpLink's $200 million investment in Linea could play a key role in the survival and growth of the Ethereum ecosystem. It remains to be seen whether the investment will pay off in terms of increasing returns and whether market participants can regain confidence in the stability of Ethereum.

The developments surrounding Ethereum and SharpLink not only have significance for market analysts, but could also have long-term implications for the entire cryptocurrency landscape. fxstreet.com reports that optimizing on-chain yield with Linea's infrastructure could be an important step to revitalize market share and investor interest.