Yes. If you are able to hold your baby, you can do skin-to-skin. Tiny babies on breathing machines, IVs, and heart monitors can often be held skin-to-skin. In fact, they often do better in this position: their heart rate, breathing and temperature are more stable.
Most dreaming occurs during the fourth stage of sleep, known as rapid eye movement (REM) sleep. REM sleep is characterized by eye movement, increased respiration rate and increased brain activity. The American Sleep Foundation suggests that people spend approximately 20 percent of their total sleep in this stage.
There are two types of sleep: REM (rapid eye movement sleep). This is a light sleep when dreams occur and the eyes move rapidly back and forth. Although babies spend about 16 hours each day sleeping, about half of this is in REM sleep. Older children and adults sleep fewer hours and spend much less time in REM sleep.