Ethereum Price Forecast: Sharplink makes first treasury purchase in 2026 amid ETH's fall from grace

Ethereum price today: $1,570

• Sharplink acquired 10,000 ETH and repurchased 2.13 million shares of its common stock last week.
• Ethereum has recorded a third consecutive quarterly loss after declining by about 25% in Q2.
• ETH has continued to falter ahead of a key descending trendline and $1,611 resistance.

Ethereum (ETH) treasury firm Sharplink (SBET) resumed accumulation of the second-largest cryptocurrency by market capitalization last week after months on the sidelines.

The Florida-based firm acquired 10,000 ETH last week at an average price of $1,611 per ETH, marking its first purchase since October. The move has pushed its holdings to 886,725 ETH worth roughly $1.4 billion at the time of writing.

The purchase follows the company's latest direct offering, where it raised $75 million.

"The successful completion of our $75 million registered direct offering last week has strengthened our balance sheet and provided the capital to support our active ETH treasury management strategy," said Sharplink CEO Joseph Chalom in a Tuesday statement. "Our capital allocation philosophy is disciplined and straightforward: every financing decision we make is based on our long-term objective to increase ETH per share."

Sharplink also repurchased over 2.13 million shares of its common stock last week at an average price of $4.69 per share, which it terms as "significantly undervalued." The company stated that it has now repurchased over 4 million shares since beginning its stock buyback program last August.

The company's stock closed at $4.80 on Tuesday, down 2.44%, marking an 88% drop from its 52-week high of $40.46.

The decline reflects that of its underlying assets, as ETH has marked its third consecutive quarter of losses, with a 25.4% decline in Q2, according to Coinglass data. In the past two quarters, it saw losses of 29.2% and 28.2% in Q1'26 and Q4'25, respectively.

Last week, Sharplink, together with its Chairman Joe Lubin and BitMine, also funded the launch of Ethereum research and development non-profit Ethlabs.

Sharplink kick-started the Ethereum treasury strategy last year when it transitioned its treasury to focus on accumulating ETH in May 2025, around prices slightly below current price levels.

Ethereum Price Forecast: ETH falters before the convergence of the $1,611 and descending trendline resistance

Ethereum recorded $58.5 million in liquidations over the past 24 hours, led by $41.3 million in long liquidations, according to Coinglass data.

On the daily chart, ETH is extending its bearish bias as price remains well below the 20-, 50- and 100-day Exponential Moving Averages (EMAs) at $1,669, $1,824 and $2,002, respectively. The top altcoin also remains below the downward-sloping trendline break at $1,617, reinforcing the view that recent rebounds are capped by overhead supply.

The Relative Strength Index (RSI) at 34 remains just above oversold territory, while the Stochastic Oscillator (Stoch) near 21 suggests downside momentum persists but may be losing intensity.

On the topside, initial resistance is seen at the $1,611 horizontal level and the descending trendline around $1,617. The hurdle is followed by the 20-day EMA at $1,669 and a nearby horizontal barrier at $1,741. Above that, a thicker supply zone emerges between $1,806 and the 50-day EMA at $1,824, ahead of further hurdles at $1,909 and the 100-day EMA near $2,002.

On the downside, immediate support comes in at the horizontal floor at $1,524, ahead of a secondary cushion at $1,404, while a deeper sell-off would expose the more critical base near $1,155.

(The technical analysis of this story was written with the help of an AI tool.)