In a medium mixing bowl, combine the warm water, 2 tablespoons of granulated sugar, and the yeast. Stir gently and let the mixture sit for about 5 minutes, or until it becomes frothy and bubbly, indicating that the yeast is activated.
In a large mixing bowl, whisk together the flour and salt. Once the yeast mixture has activated, pour it into the flour mixture and stir with a wooden spoon or spatula until a shaggy dough begins to form.
Transfer the dough to a floured surface and knead it with your hands for about 5-7 minutes, or until the dough is smooth and elastic to the touch. It should bounce back slightly when pressed.
Lightly grease a large bowl with oil, place the kneaded dough inside, and cover it with a clean kitchen cloth. Let it rise in a warm area for approximately 1 hour, or until it has doubled in size.
Preheat your oven to 425°F (220°C) and line a baking sheet with parchment paper for easy clean-up.
After the dough has risen, gently punch it down to release any air bubbles. Divide the dough into small pieces, roughly the size of 1 inch each. Roll each piece into a ball or a bite-sized shape.
In a large pot, bring 10 cups of water to a rolling boil, then add the baking soda (be careful, as it may bubble up). Carefully drop a batch of pretzel bites (about 8-10 at a time) into the boiling water, ensuring they have enough space. Boil for about 30 seconds, then remove them with a slotted spoon and transfer them to the prepared baking sheet.
Using a pastry brush, lightly coat the tops of the boiled pretzel bites with the beaten egg, giving them a shiny finish.
Bake in the preheated oven for 12-14 minutes, or until the pretzel bites are golden brown and puffed.
While the bites are baking, combine the remaining 1/2 cup of granulated sugar and the ground cinnamon in a small bowl, mixing them well.
Once the pretzel bites are out of the oven and still warm, brush them generously with the melted butter, then toss them in the cinnamon-sugar mixture, ensuring they are thoroughly coated.