Multisensory teaching, which encourages the child to use sight, hearing and movement from writing, reinforces all the sensory pathways to learning. There are many good structured phonic-based schemes that use a multisensory approach - for example Jolly Phonics, Phonographix, Toe by Toe.
There is only one spelling for panic ; the verb is inflected 'panic, panics, panicked, and panicking’. The form panick is used for progressive tense, past tense and past participle. We don't write panick today, though English speakers from a few hundred years ago might have (in the same way they might have written musick). When the alternate spelling “panick” is used for the past participle: "I panicked last night at the disco." When it’s use for progressive tense: “Invariably, when markets are panicking, they sell the stocks quickly.” It's the rule for root words ending in "c" is that you have to add “k”, so the spelling is related with the pronunciation. If we don't add the <k>, it looks as if the <c> has to be pronounced /s/. If the "k" was not there, “panicing” would look like the word which is supposed to be pronounced as if it is ended in "sing," while “paniced” would be pronounced like “panised”. The same