Carlo Giannini, 34, was found dead in Manor Fields Park at 5am on Thursday, May 12 and a post-mortem later concluded that he died of a stab wound.
This is the third arrest in the inquiry. Previously, a 17-year-old boy was released under investigation and an 18-year-old man was released pending no further action.
South Yorkshire Police had also released CCTV images of people they want to speak to in connection with the murder.
All the pictures, which appear to depict a number of different men, some of whom were on scooters or bikes, were captured around the park between 11.13pm and 3.09am on the night of the murder.
It is believed that the victim entered the park at 11.06pm but his movements up until his death are unknown.
An inquest into his death was also opened at the Sheffield Coroner's Court. The court heard that Carlo lived on Craddock Road, not far from the park where he was found dead.
He was single, the court heard, and was identified by his sister-in-law, who had to travel to the UK to identify him.
An interim hearing was set for July 22, when it is hoped a fixed date for the inquest can be made.
Anyone with information can contact 101 quoting incident number 122 of May 12.
Information can also be passed on directly to the incident room via https://mipp.police.uk/operation/14SY22K04-PO1.
Alternatively, contact Crimestoppers anonymously online via Crimestoppers-uk.org or by phone on 0800 555 111.