They spoofed the old 1970's "Match Game" TV game show.
Among the character portrayals of the game show regulars of the time ("Paul Lynde"; "Nipsey Russel"; "Brett Sommers", etc)....was a "Doug Henning" character (long hair & moustache, wearing a spandex t-shirt with a unicorn on it).
He did a gag linking ring bit, among other things, and would say "It's magic!" in a Henning sort of way.
Anyway, this skit was a surprise to see - considering the typical SNL viewer of today probably has no idea who the celebrity spoofs were, and I'm sure some younger viewers may have mistaken the "Henning" character to be a "Cris Angel" spoof??
Long live the memory of Doug Henning.