SKL/USDT Technical Analysis Bullish Surge +13% Following SIP-4 Approval and AI
Hello Steemit Community
Today, I am analyzing the SKALE Network (SKL), which has shown remarkable strength in the last 24 hours. As seen in my Binance chart below, the SKL/USDT pair has surged by approximately +13.10%, currently trading at $0.01114.
Technical Analysis 1Hour Chart
From a technical perspective, the price action is very promising
EMA Alignment The price is currently holding firmly above the EMA 25, 50, and 100. This alignment indicates a strong short-term bullish trend and a potential recovery from the recent lows.
Resistance Levels the immediate resistance lies between $0.01155 and $0.01175. A breakout above this zone could open the door toward the psychological resistance of $0.01500.
Volume the chart shows a significant spike in trading volume during the breakout, confirming institutional interest in this move.
Fundamental Drivers
The recent surge is not just technical it is backed by major fundamental developments
SIP-4 Approval on January 22, 2026, the SKALE community approved SIP-4 with 100% consensus. This introduces a token-burning framework where 50% of revenue from SKALE Expand will be used to buy and burn SKL, making it a deflationary asset.
V4 Upgrade and AI Integration the recent V4 upgrade has optimized the network for on chain AI agents and encrypted gaming transactions, positioning SKALE as a leader in the AI crypto intersection.
Expansion on Base SKALE's integration with Coinbase’s Base L2 network has provided access to over 8.4 million users and significantly increased liquidity.
Conclusion
While the 1 hour chart is strongly bullish, I am closely monitoring the RSI to see if we enter overbought territory. If the volume stays high, SKL could be one of the top performers of the week.
What do you think about SKALE's new deflationary mechanism?
Let me know in the comments
Disclaimer
This is purely market observation and educational content not financial advice. Trading involve high risk; always do your own research use proper risk management, and never trade with money you can't afford to lose.