According to @DowdEdward, the SPDR S and P Regional Banking ETF KRE broke below last Friday’s low even after Donald Trump walked back the tariff threat, signaling that regional banks may be pricing in credit issues, source: @DowdEdward on X. For trading, the actionable focus is whether last Friday’s low now acts as resistance on any backtest, how KRE closes relative to that level, and whether downside volume expands on the break, source: @DowdEdward on X. Crypto angle for cross-asset positioning: while the source does not mention digital assets, traders can treat KRE price action as a risk sentiment gauge when calibrating BTC and ETH exposure, source: @DowdEdward on X.

According to The Kobeissi Letter, Regional Bank Stocks, represented by the ETF $KRE, experienced a substantial decline of over 10%, marking their largest daily drop since the 2023 Regional Bank Crisis. This downturn signifies that the sector is now officially in bear market territory, having fallen 26% since November 25th. Traders should be aware of the increased volatility and potential risks in the regional banking sector as it continues to face economic pressures.