SKALE (SKL) has scaled over 100% in the past week, with the last 24 hours alone delivering a 44% gain. The token is currently trading near the $0.039 mark after briefly testing higher levels.
While this explosive move has caught the eye of traders chasing momentum, few on-chain and technical indicators suggest the rally could face a quick cooldown or consolidation in the sessions ahead.
Dormant Coins Wake Up: A Spike That Often Precedes Pullbacks
We examine the Spent Coins Age Band because it indicates when long-idle coins begin to move; typically, this occurs after sharp rallies, often as a result of profit-taking. Over the last session, this metric increased from 33.36 million to 173.62 million SKL (roughly 5.2×, or approximately 420%).
SKL price and dormant coin movement: Santiment
In July, smaller local peaks (around July 15, July 24, and July 29) were followed by the SKALE price dips in subsequent sessions. When a big block of the dormant coins suddenly moves, it usually means supply is returning to the market; historically, a headwind for rally continuation.
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Whales Trim While Exchange Supply Rises
We pair cohort behavior with exchange balances to see whether “moved coins” are likely to meet immediate liquidity.
The 10 million – 100 million SKL cohort (key swing whales) reduced holdings from 3.27 billion to 3.14 billion SKL—a cut of 130 million SKL (4%). At the same time, exchange reserves rose 2.44% to 1.90 billion SKL, implying that almost 45.3 million SKL flowed onto exchanges in 24 hours.
SKL whales dumping: Santiment
Taken together, whales lightening up and more coins sitting on exchanges create a readiness-to-sell backdrop. Even if some whale moves are internal reorganizations, the net picture is a more immediately available supply than yesterday.
Increased SKL exchange inflow: Nansen
As mentioned on the chart, this cohort has previously dumped SKL supply, moves that have aligned with price dips.
SKL Price Structure: Bearish Wedge Capped Near $0.042
Price context matters most when signals turn. On the daily chart, the SKL price is pressing the top of an ascending broadening wedge—a pattern that often resolves with a pause or retrace unless the price closes above the upper rail ($0.042) and holds.
SKL price analysis: TradingView
If buyers fail to force a breakout, nearby levels to watch are $0.036, then $0.033 and $0.030 (Fibonacci markers from the current leg). A deeper correction could probe $0.027–$0.023. Do note that if the SKL price makes a new high, the Fib markers will change. The current setup only takes the previous swing low (0.018) and the latest swing high ($0.042) into consideration.
Why lean on the pattern now? Because the wedge top overlaps with the surge in dormant-coin activity and fresh exchange supply, three separate lenses point to short-term fatigue.
A strong daily SKL price close above $0.042 with follow-through would neutralize the immediate bear setup and open room toward higher moves. On-chain pressure would also ease if the dormant-coin spike cools, whales re-accumulate, and exchange balances retreat.
