Sorry about that, panini. Lacking an interpretive context, I was assuming that you might want to treat the second adjective as neutrally falling inside or outside the scope of the preceding adjective. That seems like a plausible ambiguity to me in some contexts, but I admit that it is strained. The question of whether slivers are alive is a common sense interpretation, so you clearly want to simplify the parse structure on the basis of pragmatic considerations. Hence, I'll just offer #2 as the most plausible way to parse the structure, especially since "sly little" fits well together as a collocation--"nice/sly/good/tricky/nasty/etc. little <nominal>".