I am trying to find out if it is possible to edit a file in a single sed command without manually streaming the edited content into a new file and
Very good examples. I had the challenge to edit in place many files and the -i option seems to be the only reasonable solution using it within the find command. Here the script to add "version:" in front of the first line of each file:
find . -name pkg.json -print -exec sed -i '.bak' '1 s/^/version /' {} \;