Sound waves generated by erupting volcanoes can be used to infer important source dynamics, yet acoustic source‐time functions may be distorted during propagation, even at local recording distances (
<15 km). The resulting uncertainty in source estimates can be reduced by improving constraints on propagation effects. We aim to quantify potential distortions caused by wave steepening during nonlinear propagation, with the aim of improving the accuracy of volcano‐acoustic source predictions. We hypothesize that wave steepening causes spectral energy transfer away from the dominant source frequency. To test this, we apply a previously developed single‐point, frequency domain, quadspectral density‐based nonlinearity indicator to 30 acoustic signals from Vulcanian explosion events at Sakurajima Volcano, Japan, in an 8‐day data set collected by five infrasound stations in 2013 with 2.3‐ to 6.2‐km range. We model these results with a 2‐D axisymmetric finite‐difference method that includes rigid topography, wind, and nonlinear propagation. Simulation results with flat ground indicate that wave steepening causes up to
∼2 dB (1% of source level) of cumulative upward spectral energy transfer for Sakurajima amplitudes. Correction for nonlinear propagation may therefore provide a valuable second‐order improvement in accuracy for source parameter estimates. However, simulations with wind and topography introduce variations in the indicator spectra on order of a few decibels. Nonrandom phase relationships generated during propagation or at the source may be misinterpreted as nonlinear spectral energy transfer. The nonlinearity indicator is therefore best suited to small source‐receiver distances (e.g.,
<2 km) and volcanoes with simple sources (e.g., gas‐rich strombolian explosions) and topography.