The Tuesday Night Fight Club

Is this level capped or can I go all the way to 200 now?
Do I have to take damage to get a skill increase?
Does the amount of damage make any difference in chance to gain a point?

I can't remember if it is level capped or not. You have to almost fall down to raise it. I used to use the hill outside of Surefall, the Rock face to raise it. I would run up and down the face, you can hear when it raises. Just jumping off the railing of the little Bank in PoK would raise it. I used to spend hours with my monk doing this. A monk takes a long time to raise Mend, Sneak, Safefall, and especially FD.

Yes it seems to be level capped, for my monk the same cap as weapon skills and mend.