Key Notes

Key Notes:

Sonic (formerly Fantom) surged 30% post-rebranding, adding 10% gains this week.Total value locked jumped from $11M to $414M, with trading volumes soaring to $40M.Over $100M was bridged into Sonic via DeBridge and Rhino Finance in just three months.Fibonacci analysis shows price targets at $1 (78.6%) and $2.43 (1.414 level).

Sustaining the bullish tone despite the broader market pullback, Sonic (formerly Fantom) trades at a market price of $0.5861. After the recent rebranding, Fantom is now known as Sonic S $0.81 24h volatility: 3.9% Market cap: $2.58 B Vol. 24h: $370.91 M in the crypto space.

With the rebranding, the bulls have driven the crypto price higher by 30% last week. This continues with a 10% surge this week and hints at an extended rally.

Will this rebranding rally drive Sonic’s price to the $1 psychological mark? Let’s find out.

For price action analysis, we have used the price chart of Fantom, which provides more historical data compared to the current Sonic price charts. The DeFi token has given a bullish breakout of the falling channel pattern that started in late December 2024.

With a bullish comeback from the $0.39 support level, the recovery run has surpassed the local resistance trendline. Furthermore, the breakout of the 23.60% Fibonacci level is now close to testing the 38.20% Fibonacci level near $0.64.

The ongoing recovery run now accounts for a nearly 50% surge. Supporting the chances of an uptrend continuation, the MACD and signal lines maintain a positive alignment.

Furthermore, the daily RSI line positions itself above the halfway level. Thus, the momentum indicators reveal a strong bullish trend.

Amid the rebranding, the shift from Fantom to Sonic Labs has seen a major change on the on-chain side. The parabolic rise marks a surge of total value locked from $11 million to $414 million. Furthermore, the volumes have increased from $200,000 to $40 million.

The most drastic change comes in the revenue, which was previously $0 and has now reached $110,000. With this parabolic rise, the rebranding comes as one of the most successful ones in crypto history.

Apart from the victory on the on-chain side, the fundamental developments also support the chances of a bullish recovery. Furthermore, 31% of the total supply has been staked in the past two months.

Assuming that the staked supply consists of 5-10% logged-in DeFi and Liquid Staking. This will result in 118 million S tokens in Liquid Stake in Beets Finance alone. This accounts for 3.1% of the supply.

Hence, nearly half the supply is off of centralized exchanges, which could fuel a bullish rally due to the supply crunch. Finally, the 70 million tokens bridged into Sonic via DeBridge Finance accounts for 30 million from Solana and 16 million from the Base Ecosystem.

Another $64 million is bridged via Rhino Finance. This resulted in more than $100 million in inflows within just three months.

Hence, with its parabolic history, Sonic Labs is on the verge of witnessing a massive bull run.

As the changing landscape supports the possibility of a bull run, the Fibonacci levels paint the upcoming price targets at 78.60% near the $1 psychological mark. Beyond this, broader market stability will likely drive the DeFi token price to the 1.414 Fibonacci level at $2.43.

On the flip side, declining support remains at $0.53 and the $0.50 psychological mark.

Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.

Vishal, a Bachelor of Science graduate, began his journey in the crypto space during the 2021 bull run and has since navigated the subsequent market winter. With a strong technical background, he is dedicated to delivering insightful articles rich in technical details, empowering readers to make well-informed decisions.

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