Morgan Stanley Opens the Doors to Crypto for All Clients Amid Wall Street’s Digital Asset Trend – CNBC

Bitcoin Faces Resistance as Risk Aversion Surfaces in Bond and Banking ETFs

Bitcoin (BTC) rebounded to roughly $121,500 after dipping below $120,000, but short-term technicals and market sentiment suggest gains may be limited.

Hourly charts show BTC’s 50-, 100-, and 200-candle SMAs stacked bearishly, while consecutive lower highs signal weakening buying pressure.

Risk-off sentiment is reflected in ETFs. The iShares iBoxx High Yield Corporate Bond ETF (HYG) broke below its bullish trendline from May and its 50-day SMA, reflecting falling demand for high-yield bonds. Banking ETFs echo the caution: the Financial Select Sector SPDR Fund (XLF) shows signs of a rounding-top pattern, and the regional banking ETF (KRE) has slipped below its April bullish trendline.

Support and resistance: BTC finds support at $120,000 and $118,000, while a move above $124,000 would reduce the likelihood of a deeper pullback. Combined technicals and ETF trends point to a risk-averse market environment.