It’s now April and it feels like we have more news on our table at the start of 2020 than in the whole of 2019.
Seriously, Coronavirus has not only impacted our lives but to a great extent has broken our economy. No matter in which country you are, we all are sinking in a sea where we need precautionary measures to overcome this situation.
Though we all are struggling with our economic slowdown, there are ways for crypto traders to make suitable profits in the bear market. Yes! You read that right. Bitcoin can help you to save your investments amid a deadly virus outbreak.
A bear market is very harsh and brutal once you come across it while trading. The economy in this type of market is declining and prices are going down. Commonly known as" bearish". A bear market is caused by several factors. It includes a drop in consumer confidence, an increase in unemployment, and a lack of available incomes, declining to cooperate profits or tight Federal Reserve Policies. These unbearable conditions can be either long or short term. Then, how can crypto traders still make a profit?
Let’s See How?
Trust; capital is never enough for any investment, especially when there is a recession in the economy. It’s possible to have enough capital with leveraged trading, where there is a corresponding increase in the chance of securing a profit. It is just borrowing assets such as bitcoins from a broker to execute a trade. However, this strategy can be a risky affair in crypto trading as prices that can shoot or drop at any time. Not to worry though, leveraged trading can work in bear markets. The reason being a trader can leverage up to a 100:1. This means that for every $100 he can trade with $10,000 in bitcoin. This is 100× leverage, a great deal not to go to waste.
- Another strategy is short selling, where predictions are done on the decline of assets such as bitcoin. A trader purchases assets at a price hoping that the value will decline. If it does drop, the trader buys it at lower prices and sells at the market price. The profit is the difference between the time of buying and selling the asset (Bitcoin) .This is likely a good strategy to use during bear markets.
- Put more focus on short-term bonds as compared to long-term bonds. These are life savers during unbearable market conditions. It is better to acquire bonds as compared to getting stocks during a declining market for several reasons. One being bonds are likely to be interfered with. Moreover, bonds can provide a stable income during bear markets since bonds distribute interest on a regular bases while you can focus on trading crypto.
Bexplus’ 100x Trading Tool
Bexplus, introduced in 2017, is a crypto trading platform that is focusing on 100x crypto futures. It’s registered in Saint Vincent and the Grenadines and is constantly expanding worldwide opening offices in Japan, Singapore, the U.S., Japan, and Brazil.
With Bexplus, users have the advantage of opening unlimited large positions that are valued from 0.1 BTC-200 BTC which only need 0.0001 BTC- 2 BTC as margin.
Get 100% on Your First Deposit as Bonus
Bexplus is giving a 100% deposit bonus on limited new users as the 1st deposit will double automatically without any need to submit the form. You will receive 2 BTC on depositing 1 BTC and bonus cannot be withdrawn. However, you can withdraw the profit it generates.
Image Source: https://bit.ly/33QviA6
There are many ways to make money in bear markets. It all depends on how one maximizes some of the trading tools or trading signals available. Before using any of these, make sure that you can determine if it is a bear or bull market. Always trust your conscience, and push yourself to do more research before trading. Otherwise, I wish you all the best trading. Disclaimer: profits are not guaranteed. Remember, practice makes perfect so do not give up. Trading involves a lot of risks, some are bearable other are not, but push through.