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How the Silicon Valley Bank (SVB) Crash will impact Cryptocurrencies

This crash marks one the second biggest bank collapse in U.S. history and you wouldn’t believe what's coming!

One of the biggest banking institutions in the U.S. is the SVB Financial Group. It is not only a bank holding and financial holding company, but also a provider of various financial services to many tech startups and small businesses. On March 8th, SVB sought funds from its investors. This caused a huge panic among its customers and community, leading to the latter withdrawing billions of dollars in funds from the bank within a timeframe of 48 hours.

So, what does this mean?

The most important aspect of the Silicon Valley Bank collapse relates to individuals and companies who had kept their funds in the SVB group. For example, these companies could potentially face a decrease in their liquidity as their ability to access their funds becomes limited or lost in totality. This may cause salaries to go unpaid or bills to pile up. They may also face increased scrutiny from regulators, as governments try to ensure that investors are protected from any potential losses. In addition, this shows the downsides of centralization and banking systems.

In other words, your money is not yours.

But, how can I benefit from this?

Trading can be a profitable endeavour if done correctly. As always, you should always do your own research, learn about the different types of cryptocurrencies and stocks, understand their volatility, and use proper trading strategies to maximize your potential profits. One thing you should keep in mind is the potential risk associated with trading, which, through proper mentoring and guiding, can be minimized.

With the fall of the Silicon Valley Bank and the markets going low like they did, traders use a variety of strategies, some of which are:

  1. Short selling which can be used when a trader anticipates that a stock’s price will decline and “shorts” the market (basically meaning that they think it will continue to go lower), then takes profits.
  2. Buying put options which gives the buyer the right, but not the obligation, to sell a specific stock at a predetermined price within a specific time frame. Traders can buy put options on stocks that they believe will decrease in value, and if the stock’s prices do indeed drop, they can sell it at the predetermined price and make a profit.
  3. Investing in defensive stocks are stocks of companies that are less sensitive to market fluctuations and are most likely to hold up well during economic downturns. These may include companies who provide essential goods, such as food and medicine, or provide necessary services, such as utilities.

Never lose such an opportunity again!

Through proper mentoring and guidance, you too will learn to spot opportunities in the market and take profits at every corner! I have created over 100 millionaires through my teachings and as a result of these black swan events, I have decided to put out the Stock Market Master Course and the Cryptocurrency Master Course, valued at $666 for only $200!

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You will learn the basics of trading & gain an understanding of the market, how to develop strategies, how to manage risk, technical and fundamental analysis, how to read and analyze charts, what to look for when investing in companies and stocks, and much more!

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Disclaimer: Trading in financial markets carries a high level of risk and is not suitable for all investors. The information provided in this article is for educational and informational purposes only and should not be construed as financial advice. It is important to do your own research and seek the advice of a qualified financial professional before making any investment decisions. The author and publisher of this article do not guarantee the accuracy, completeness, or reliability of any information provided and will not be held responsible for any losses, damages, or expenses arising from the use of this information. The reader assumes all responsibility and risk for their trading activities.