Global financial markets have been devastated by the COVID-19 pandemic, and this includes cryptocurrency exchanges. Based on common wisdom and previous financial crises, investors looking for flight-to-safety opportunities where they can weather the storm, but this has not been the case. We know that precious metals and commodities have also been impacted along with Bitcoin and other digital currencies. Traditional plans of action have been scuttled, and the only asset that has experienced appreciation during these crazy times is the United States dollar.

The first thing to keep in mind during this recessionary period is that things are bound to get worse before they get better. Should the global recession turn into an economic depression, investors should not be setting aside retirement plans. If you have a 401(k) or IRA that aligns with equity securities that trade on Wall Street, please remember the bull market that materialized around 2010, two years after the Great Recession, and which did not stop gaining value until the World Health Organization declared the coronavirus pandemic.

Emergency reserves should always be in cash, preferably USD. Even though Bitcoin and other digital currencies have recovered after being battered in March, 15% of your portfolio should be in greenback. The reason for this allocation is more than just having easy access to cash during an emergency. Let's say you follow Bitcoin at a time when Wall Street is recovering but BTC/USD is going in the opposite direction; this is a great time to monitor technical charts in search of a dip, and you want to have cash on hand in order to take a market position.

The final piece of advice is one that is often repeated and seldom followed. Portfolio diversification is more important than ever; there are investors who came out ahead during this downturn without day trading their way out of the volatile markets, and the reason they are still standing is because they did not place all their eggs in one basket. Staying invested solely in cryptocurrency tokens is extremely risky, particularly with the volatility that never seems to go away.