bitcoinlfg

Tag: Sky

  • Sky token slides over 5% as altcoin weakness deepens

    Sky token slides over 5% as altcoin weakness deepens

    Bitcoin Cash Bull Vs Bear

    • Sky token price dropped over 5% as altcoins struggled.
    • The token could fall further amid broader market weakness.
    • Anchorage Digital has reportedly transferred over 69 million SKY tokens.

    Sky (SKY), the governance asset of the decentralized Sky Protocol (formerly MakerDAO), has dropped by over 5% in the past 24 hours as major cryptocurrencies face downward pressure.

    After renewed uptrends in early 2026, Bitcoin has retreated to support at $90,000, Ethereum to $3,000 and XRP to around $2.15.

    Increased trading volume as the token faces significant downward pressure suggests there could be further downside movement.

    SKY price falls amid large token transfer

    SKY’s price declining nearly 6% to trade near $0.056 is a drop that aligns with a broader altcoin market weakness observed on Friday.

    Sky Price Chart
    Sky price chart by TradingView

    The token’s struggles come as profit-taking adds to risk-off sentiment.

    For Sky, sellers have been on top since prices fell from highs of $0.096 in July 2025.

    Bears even tested the support levels around $0.041 in November.

    Recent gains saw buyers top $0.068, but things have looked tough on the upside across the cryptocurrency market, and SKY is following a similar trajectory.

    On Jan. 9, the price decline happened as onchain data showed that Anchorage Digital, a prominent institutional crypto custodian and federally chartered bank, had moved over 69 million SKY tokens.

    This significant on-chain transfer is likely a repositioning for custody services, institutional allocation, or other strategic purposes.

    However, such large transfers often trigger heightened selling activity.

    What next for SKY price?

    Technical indicators on the daily chart point to continued downside risk for SKY in the near term.

    The Relative Strength Index (RSI) is hovering in the mid-40s, suggesting weakening momentum and leaving room for a further slide toward oversold conditions.

    At the same time, the Moving Average Convergence Divergence (MACD) remains bearish, with the MACD line below the signal line and a negative histogram.

    Despite the recent decline of roughly 9% over the past week, some investors remain constructive on the token’s longer-term outlook.

    Supportive factors cited include ongoing token buybacks funded by protocol revenue and signs of growing real-world usage.

    Data also shows that annualised SKY repurchases have risen sharply alongside a jump in revenue, placing the project among the top-ranked protocols by buyback activity.

    While Hyperliquid leads the group, Sky ranks second, ahead of names such as Pump.fun, TRON and Solana.

    The positive fundamentals may provide a boost that could see bulls counter macro-driven headwinds.

    If bulls take control, bullish price targets include $0.080 and $0.10. Conversely, bears might eye $0.050 and $0.037 lows.

    Share this article
    Categories
    Tags



    Source link

  • Sky Protocol buyback program starts paying off as SKY token jumps 12%

    Sky Protocol buyback program starts paying off as SKY token jumps 12%

    SKY token price surge

    • Sky Protocol has spent nearly $75M on buybacks since February 2025.
    • SKY token has risen by 12.6% in a week, nearing previous highs.
    • Buybacks reduced supply and boosted investor confidence.

    The price of the SKY token has jumped 12.6% over the past seven days as the Sky Network buyback program starts to bear fruits.

    The steady rise comes after months of token repurchases, with Sky Protocol investing tens of millions of dollars to reduce supply and stabilise market confidence.

    Sky Protocol’s buyback strategy

    Sky, formerly known as Maker before rebranding in August 2024, has made headlines with its aggressive buyback plan.

    Since February this year, the protocol has used nearly 75 million USD to purchase SKY tokens directly from the market.

    The most recent update revealed that in August alone, Sky spent 5.5 million USD to acquire 73 million tokens.

    Notably, this consistent activity has helped to gradually lift the token’s price.

    In late February, SKY was trading just above six cents.

    Today, it is changing hands at a little over seven cents, and while the number may look modest, it marks a meaningful recovery for a token that had faced periods of volatility.

    The buybacks are designed to reduce circulating supply, creating upward pressure on value while signalling financial confidence from the project’s side.

    SKY token price recovery gains momentum

    Market data from Coingecko shows that SKY has gained more than 12% in the past week, outperforming several other decentralised finance tokens.

    The token’s performance since the start of the buyback has been steady, rising over 8% across six months despite broader market swings.

    In late July, SKY even touched 9.6 cents, getting close to its all-time peak of just over ten cents recorded in December, before taking a surprising dip to just above six cents in August.

    By comparison, Uniswap’s UNI token has risen about 6% in the same timeframe, while Aave’s AAVE has gained over 25%.

    These comparisons highlight that although SKY has not delivered the strongest returns, its growth is tied directly to a deliberate financial mechanism rather than just speculative market sentiment. This distinction makes Sky’s approach stand out within the altcoin space.

    Why the buybacks matter

    Token buybacks are not new in crypto, but Sky’s scale and consistency are drawing attention.

    By removing tokens from circulation, the project is reducing potential selling pressure and rewarding holders with gradual value appreciation.

    The fact that Sky has committed $75 million to this strategy suggests a strong treasury position and confidence in its ecosystem.

    Other projects, such as World Liberty Financial and Pump.fun, have also launched similar programs, indicating that the model may become more common across the industry.

    For Sky, the coming months will be crucial in determining whether the current momentum can be sustained, especially if market conditions turn volatile again.

    Investor sentiment already appears to be shifting in line with these efforts. A token that fell to a low of 3.5 cents earlier this year has nearly doubled from that point, reflecting renewed faith in its long-term role.

    With a market capitalisation of around $1.64 billion and more than $6.2 billion in total value locked on the platform, Sky is positioning itself as one of the more stable players in DeFi.

    Share this article
    Categories
    Tags

    Source link