Sonic, a high-throughput EVM-compatible Layer-1 blockchain, shows volatility in its TVL and token price since May 2025.
Changes in Sonic's TVL
Early reports suggested a 67% drop in Sonic's TVL since May, however, primary data indicate a moderate decline and stabilization rather than a crash. Sonic remains a top-tier Layer-1 blockchain by TVL, indicating strong market confidence even amid price volatility.
Market and Economic Impacts
The immediate economic effects demonstrated resilience with a ~50–65% TVL drawdown from its $1 billion peak. This reflects broad DeFi outflows rather than isolated internal issues within Sonic’s ecosystem. Alex Johnson, Senior Analyst at CryptoRank.io, stated, "Sonic’s ecosystem is evolving rapidly, and we anticipate it continuing to attract TVL despite current market pressures."
Outlook and Conclusion
The SONIC token price declined to $0.33-$0.35 but shows consolidation. The DeFi market fluctuations mirror broader market conditions without specific red flags on Sonic’s financial stability. Sonic maintains a stable position with active developer engagement, and historical data show similar TVL contractions during prior DeFi cycles, emphasizing sector-wide patterns.
Sonic continues to maintain stability despite high market volatility, affirming its potential for further development and infrastructure upgrades.
