Sonic’s price is currently at a critical juncture, showing signs of potentially reversing course or pulling back after its recent strong run. Each move is under scrutiny as Sonic struggles to hold important support levels.
Current Market Situation
The market mood is shifting. While resistance levels are holding strong, support zones are starting to feel the heat. After climbing impressively, Sonic now faces the challenge of maintaining its gains as technical indicators suggest caution ahead.
Technical Price Analysis of Sonic
The Sonic daily chart shows a clear pattern of bullish and bearish movements. Sonic climbed strongly through December into early January, reaching nearly $1.60 before hitting resistance and tumbling. Since then, the chart tells the story of each rally peaking lower than the last and each dip digging deeper. A recent bounce has pushed Sonic toward the upper Bollinger Band, but as it approached the key $1.00 mark, sellers stepped in. Current support is near $0.63, previously acting as support in late January. Failure to hold this level could see the price decline toward $0.40 – $0.45. The Bollinger Bands are expanding, signaling increasing volatility, while the middle band (SMA) around $0.75 has acted as dynamic resistance. The MACD indicator shows a positive histogram, but momentum is weakening. The RSI at 47.95 hovers near neutral; a drop below 40 could indicate increasing bearish strength.
Bullish Outlook: Developing Sonic Ecosystem
Crypto analyst Choze remains bullish on Sonic, citing strong fundamentals. Sonic can process 370,000 transactions per second, being the fastest Layer 1 network. The total value locked (TVL) has surged by 1,500% in three months, showing rapid ecosystem growth. Sonic’s integration with AAVE V3, Pendle, and near-zero transaction costs fuel market optimism. The platform offers liquidity-delegated governance and advanced financial instruments, making it attractive for DeFi applications.
Overall, Sonic must hold above $0.63 to maintain bullish momentum. The price could retest $1.00 if buyers drive it above $0.75. However, a breach below $0.63 might trigger a slide into the $0.40–$0.45 support zone. Future price movements and volume patterns will determine the market mood.
