@ autocomplete truncates long file paths making them unreadable

Description

Since version 2.1.6, the @ autocomplete shows file paths in single-line format, which truncates long paths and makes it impossible to distinguish between files in deep directory structures.

Steps to Reproduce

1. Have a project with deep nested directories (e.g., projetos/projetos-profissionais/nome-do-arquivo.md)
2. Type @ followed by a partial filename
3. Observe that the autocomplete suggestions are truncated

Expected Behavior

File paths should be readable enough to distinguish between different files, either by:

• Showing the full path (wrapping if needed)
• Showing more characters before truncating
• Showing the end of the path (filename) more prominently
• Using a tooltip or expanding on hover/selection

Actual Behavior

Paths are truncated early, showing only projetos/projetos-profissionais/... which makes it impossible to know which file to select when multiple files share similar directory structures.

Screenshot

!Truncated paths in autocomplete

The autocomplete shows:

projetos/projetos-profissionais/...
projetos/projetos-profissionais/n...
projetos/projetos-profissionais/n...
projetos/projetos-profissionais/n...

Environment

• Claude Code version: 2.1.5 (but issue introduced in 2.1.6 changelog: "single-line formatting")
• OS: macOS Darwin 25.2.0
• Terminal: Both iTerm2 and macOS Terminal.app
• Terminal width: Standard width (not unusually narrow)

Suggested Solutions

1. Show filename first: Display as filename.md (projetos/projetos-...)
2. Smart truncation: Truncate the middle of the path, keeping start and end visible
3. Configuration option: Allow users to choose between compact and full path display
4. Dynamic width: Use more of the available terminal width for suggestions

Impact

This significantly impacts productivity when working with projects that have organized folder structures. Users cannot reliably select the correct file without typing very specific queries.