Recession Confirmed: How Traders Can Survive The Economic Storm With PrimeXBT
The US Commerce Department reported this past month that the United States Gross Domestic Product (GDP) fell for the second quarter in a row.
By definition, a recession is “a period of temporary economic decline during which trade and industrial activity are reduced, generally identified by a fall in GDP in two successive quarters.
With a significant box checked, is the US economy now in a recession? And what exactly does this mean for investors and traders? Here is a closer look at how anyone can survive the economic downturn using PrimeXBT trading tools.
Has The US Economy Entered A Fed-Induced Recession?
The global economy hasn’t been in a recession since The Great Recession of 2008. But the term is once again back, and it has led the stock market and cryptocurrencies down an extremely bearish trend.
From the moment that the year turned from 2021 to 2022, the market began to price in the US Federal Reserve’s plan to raise rates to combat rising consumer inflation. Supply chain issues and high demand resulting from the pandemic and economic stimulus made a disruptive impact on markets that are still being felt.
Fed Chair Jerome Powell stated recently that he doesn’t believe the US economy has entered a recession, and markets reacted to the upside. With inflation at the highest rates in over 40 years – something Powell in the past called transitory – it remains to be seen if the Fed can create a soft landing for the economy and spare a global recession.
What To Do If A Recession Does Strike?
If a recession does strike, the recent bear market will be a walk in the park compared to what is ahead. The stock market has since pulled itself out of bear market territory. However, Bitcoin and other cryptocurrencies remain down by more than 60% from 2021 peaks.
The best way to make money during a bearish trend is to short rallies and bounces until there is a confirmed trend change. With PrimeXBT, the trend is always your friend, no matter which direction the market is headed in. Shorting risk assets like stock indices and altcoins can turn the decline into a positive ROI if a recession takes hold over markets.
In case a recession is avoided, and a base can be established in Bitcoin and the stock market, traders have the flexibility to hedge or go long and prepare to take advantage of any potential upside that materializes.
How PrimeXBT Can Help You Survive An Economic Storm
PrimeXBT also has built-in technical analysis tools so traders can always get a read on the market environment before taking a position. The PrimeXBT Trading Academy teaches traders how to put these tools to good use with educational videos, while PrimeXBT Contests offers risk-free weekly competitions where traders can backtest strategies before implementing them in a technical trading system.
The award-winning trading platform also features the Covesting copy trading module, where top-ranked strategy managers can earn extra income by attracting followers. Top traders regularly make substantial ROI, which followers can tap into by following. Following a trader will automatically copy their trades, earning then they do.
The PrimeXBT mobile app also is offered free as part of the experience. The smartphone app for iOS and Android devices offers constant access to global markets and one’s trading portfolio from anywhere in the world at a tap or a swipe. The app also connects users to the 24/7 customer support chat.
How To Stay Profitable During A Recession With PrimeXBT
With so many tools and ways to generate income under one roof, PrimeXBT is the perfect solution to staying profitable during even the most challenging economic recessions. If a recession is here, markets might get a lot more volatile. If a recession is avoided, a short squeeze could turn into a more sustainable bull rally.
Be ready for anything with PrimeXBT, and make sure you are equipped to survive the economic storm ahead.