It makes me queasy to see it, because I've been there... sold every instrument I had except the one upright I had for gigs. That was a little over 20 years ago, but I remember that sick, defeated feeling like it was yesterday. And the wise folks know, it could absolutely happen again. Can I live without them? Sure. There is a very real and looming possibility I'll be physically unable to play music in a few years, so always in the back of my mind is the idea of liquidation. Maybe not emergency, still not fun thinking about.
I really feel for musicians who have lost out in this mess. I personally know a bunch of bluegrass players are really struggling. The festival circuit, which is their meal ticket, is a done deal for another year. It's happening in their circles too... lots of very high-end and vintage instruments on the block. No gigs to play them at.