SONIC has shown a short-term bearish signal; be cautious of the risks.

Although the 4-hour chart remains relatively stable, the 1-hour and 15-minute timeframes have clearly turned bearish, with MACD showing a death cross and moving averages pressing down. The current price is around 0.12, and technically, a breakdown could happen at any time.

Looking at on-chain data: buy strength is at 1.85, but funding rates have turned negative, indicating that short positions are becoming cheaper. The long-to-short ratio and the proportion of large traders holding long positions are both relatively high. This crowding into longs often increases the risk of a short squeeze. Active buy and sell orders are roughly balanced, suggesting volatility could erupt suddenly.

Personal trading idea: consider lightly shorting SONIC, with a take-profit target around 1.7%.

Market volatility is high, so control your position size and set stop-losses carefully. This is not investment advice, just for reference.