SharpLink to Invest $200 Million in Ethereum on Linea
SharpLink Gaming plans to invest $200 million in ETH on the Layer 2 network, Linea. This move aims to boost treasury yields. The company will work with EtherFi, EigenLayer, and Anchorage Digital Bank on this project.
SharpLink wants to increase returns by using restaking rewards. Anchorage Digital Bank will help custody and manage the ETH during deployment. According to SharpLink, this collaboration will unlock new ways to optimize on-chain yields securely and at scale.
SharpLink’s chairman, Joseph Lubin, who also co-founded Ethereum and leads ConsenSys, said the initiative supports Ethereum’s growth. Recently, the company bought 19,271 ETH after a private funding round. SharpLink now holds 859,853 ETH, making it the second-largest digital asset treasury after BitMine.
Despite the investment, SharpLink’s token SBET fell nearly 4% to $13.70 on Tuesday. Some investors remain concerned as ETHZilla sold part of its ETH to fund a share buyback program.
Ethereum Price Drops Below $4,100, Tests 100-Day EMA
Ethereum’s price fell below $4,100 on Tuesday, dropping past the 50-day moving average after hitting resistance near $4,270. Over $120 million in liquidations occurred in 24 hours, mostly long positions.
If Ethereum fails to hold the 100-day Exponential Moving Average (EMA), it could drop to $3,800 support. On the upside, ETH needs to surpass $4,270 and a descending trendline to reach $4,500.
Technical indicators like the Relative Strength Index and Stochastic Oscillator suggest bearish momentum is returning after a short rise.
Summary of Key Points
- SharpLink will invest $200 million in ETH on Linea with EtherFi, EigenLayer, and Anchorage.
- SharpLink aims to increase yields using restaking and support Ethereum’s growth.
- Ethereum price dropped below $4,100 and faces key support at the 100-day EMA.
- Strong resistance is at $4,270; $3,800 could be the next support level if price falls further.
