SKYAI has fallen sharply after its explosive rally in April and May, but the long-term trend structure remains unbroken.
The price of this Token has just undergone a deep correction and is approaching a key resistance zone, so the next development will likely depend on whether the buyers can maintain their recovery momentum.
- SKYAI has corrected 84.68% after a sharp increase in April and May.
- The overall trend is still XEM bullish as long as the price remains above the 200-day Medium .
- The $0.39–$0.44 range is an area where profit-taking pressure and Short position liquidation could occur.
SKYAI has just undergone a sharp correction, but the overarching trend has not yet been broken.
SKYAI is a Token currently undergoing a short-term correction within a larger trend that remains bullish. After a sharp increase, the price retreated from $0.866 to $0.132, representing an 84.68% retracement.
This decline has erased much of the previous gains of just about a month, making SKYAI's volatility look like a deep reversal. Even so, the price remains above the 200-day moving Medium at $0.1219 and is testing the 50-day moving average at $0.3308.
How large was SKYAI's previous surge?
SKYAI surged rapidly from mid-April to early May, gaining 1,102%. The Token also surpassed its previous high of $0.08 in April, before continuing its upward trend.
From its Dip following the October crash, prices have risen steadily before forming a strong upward wave. Even after the recent sharp drop, the overall price structure is still described as bullish.
The 78.6% retracement level at $0,191 has also held firm for the past two weeks. This detail shows that buyers are still reacting at key support zones, even though selling pressure has not completely disappeared.
The $0.385–$0.400 resistance level is the area to watch.
SKYAI is currently trading within a range of $0.135 to $0.385 on the 4-hour timeframe. The price at the time of discussion is rapidly approaching the top of this range.
The MACD and CMF indicators are leaning toward the upside, suggesting that money is still flowing into the market and short-term momentum remains positive. Therefore, a breakout above the $0.385–$0.400 range is XEM possible.
Liquidating Short positions can create attraction but also carries risks.
The liquidation map shows a large cluster of Short orders located in the $0.39 to $0.44 range. If the price enters this area, it could create a short-term "price pull" effect but is also susceptible to profit-taking or rejection.
This scenario often leaves buyers chasing breakouts trapped if the price fails to hold the new zone. For SKYAI, the $0.40 zone is therefore both a watchlist for upward momentum and a potential area for renewed selling pressure.
If this area turns into support next week, the short-term trend of SKYAI could be further strengthened. Conversely, rejection here would indicate that the market is not yet ready for a more sustained upward move.
Summary
SKYAI is in a recovery phase within a positive long-term structure, but the $0.39–$0.44 zone is a key barrier to overcome for confirmation of continued upward momentum.
