What version of opensuse are you running? I assume it's logging SSH connections/failures, I just want to see what it's saying.
The way it works is it first establishes an SSH connection (which is succeeding for you) and then it will authenticate (which is failing).
Try to SSH with this command and see if it fails, if it doesn't work then it probably doesn't support SSH v2 or is disabled in your /etc/sshd/sshd_config. Maybe there is a setting in your sshd_config on the remote server that is blocking it, please post a sanitized copy of that.
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ssh -2 [email protected]