June 25, 2020
Are we hitting the recession again?
The answer is yes, and we are getting there. Recessions are a fact of life. Recessions are evolutionary bottlenecks in the world of modern economics—where weak projects expire, strong projects prevail, and industries become more resilient as a result. Things have changed since the arrival of COVID 19 and it has put all the nations in the world at a back leash. Whether the recession is fast-approaching or still a way off, it’s wise to be prepared for its eventuality. Lockdown has affected adversely almost all sectors and industries and a lot of people have already lost their jobs. While government measures for handle COVID including lockdown and stay at home orders, labor-oriented jobs, and other jobs that require human intervention has gone down drastically. Companies, Factory/store owners, small businesses have laid off many of their employees and are surviving with minimum labor and operations for now. The situation is going to get worse and the world economy is going to observe some of the worst times. Although all the nations are putting their best efforts to get their economy on track. But before recession strikes, it's best to focus on the long-term investment and manage your expenses, minimizing the risk in your portfolio and setting aside yourself from its deep-down effects.
As the current circumstances demand minimum human contact, it has also given rise to the question of using digital currency or online payments over using traditional payment methods. People worldwide have accepted this trend and have been following it as well. It gives a clear indication of everyone open to adopting a new way of life. It is quick, safe, and convenient. Along with the increasing dependability on digital banking, there is a good scope of cryptocurrency market as well.
The question of investing for the next recession still looms large in the minds of those who are simply not sure how to protect their investments and do what they can to be prepared for the coming financial meltdown. For some, that is as easy as keeping a basic savings account balance in a personal checking account, but others are still searching for strategies to keep them from being caught in a downward spiral of depression and anger when the economy collapses. But here the Crypto industry differentiates from the fiat currency as it is not bound by any government authorities and regulatory whereas traditional assets are directly inclined to be affected by the inflation and deflation by the world trade.
One can start to invest in crypto with small investment at the initial stages and then learn and grow with time, sooner the better it is. Bitcoin was the first cryptocurrency launched by Satoshi Nakamoto in the year 2009. It has seen its good days and bad days but it has gone stronger than before and expected to hit more than 10k again by 2020 end. Similarly, there is another cryptocurrency in the market that has been doing good even after these economic slowdowns.
According to financial market analysts, cryptocurrencies will be widely accepted as a form of investment in the coming future and it may result in the other traditional currencies losing their core usage and dependability.