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Since 2017, bitcoin trading and taking advantage of the huge price volatility in the cryptocurrency markets has become very popular. Cryptocurrency trading has the potential to yield returns in a portfolio that make trading traditional equities markets potentially obsolete.
However, trading needs to be, as should all financial processes that occur on the market, approached hesitantly. Read our full guide to find out how to start bitcoin trading on legit platforms today.
- 1 What is Bitcoin Trading or Cryptocurrency Trading?
- 2 Understanding Bitcoin CFDs
- 3 How to Choose a Bitcoin Trading Platform : Video tutorial
- 4 Recommended Brokers
- 5 Trading Cryptocurrency in Your Country
- 6 Technical Terms on Bitcoin Trading Sites
- 7 10 Trading Tips
- 8 Is It Better to Trade Bitcoin or Buy it Outright?
- 9 Best bitcoin trading apps for 2019
- 10 Conclusion
- 11 FAQs
- 12 What is the best site to trade cryptocurrencies?
- 13 Can you get rich trading cryptocurrencies?
- 14 What is the best cryptocurrency to trade?
- 15 Can I trade cryptocurrencies in the US or UK?
- 16 How much do I need to get started trading cryptocurrencies?
- 17 Is trading cryptocurrencies safe?
- 18 Can I use Metatrader to trade cryptocurrencies?
- 19 How can I be a better cryptocurrency trader?
- 20 What is the best bitcoin trading strategy?
- 21 How long does it take to become an expert at trading cryptocurrencies?
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5 Reasons to Trade Bitcoin in 2019
- It’s the Cryptocurrency of the future and cannot be falsified or have duplicated entries
- It’s transparent, and everyone can keep track of its transactions in the Distributed Ledger (Blockchain)
- A lot of respectable companies are backing Bitcoin and Cryptocurrency Instruments (ETFs, CFDs, Mutual Funds…)
- A well established and reliable broker or exchange will always have crypto assets in their portfolio.
- It is highly volatile. It poses higher risks, but higher rewards.
What is Bitcoin Trading or Cryptocurrency Trading?
In the financial markets, there are assets that are available for buying and selling. This applies to all markets; in equities markets, you can buy and sell stocks or “shares”/representations of company profits and performance, in commodities markets, you can buy and sell physical objects that retain value, and in cryptocurrency markets you can buy and sell something almost similar to “valuable code”, for example, like Bitcoin. In understanding what bitcoin trading is a large distinction that needs to be made when it comes to “buying” and “trading” assets.
Let’s say you log on to Coinbase and buy Bitcoin with a plan that in 3 years, your Bitcoin will be worth a lot more than its current price. In this case, you’re buying or investing in Bitcoin through the form of a “long-term” (Traditionally representative of multiple years) hold.
Adversely, let’s say you log on to Plus500 and buy a Bitcoin CFD – otherwise known as a contract that provides exposure to the price of Bitcoin – and hold it for 2 minutes and when the price goes up, you sell the contract. Let’s also say you repeat this process for 2 hours. This process is referred to as trading.
What is the difference between buying and trading Bitcoin?
When you’re trading cryptocurrency it should be noted you’re adhering to a few different criteria. For starters, you’re only purchasing the position with the pure intention of seeking price movement. This can be based on any number of parameters, however, the bottom line is that when you’re trading cryptocurrency, you don’t have any intention of using it as a currency. Bitcoin can be bought and sold to different entities around the world, however, when trading Bitcoin, you’re essentially disregarding all functionality. You’re only looking at the asset through the lens of its market movement. An exact parallel is in the foreign exchange market. In the foreign exchange market, US Dollars, Japanese Yen, and global currencies can be bought and sold at fluctuating prices. Although the underlying asset can be used as a form of payment in the economy, in the foreign exchange market, all that is cared about is the price movement of the currency. Cryptocurrencies are the same.
Where do you trade Bitcoin?
Bitcoin trading or cryptocurrency trading in general is done on exchanges, which are brokers that essentially connect buyers with sellers in the cryptocurrency world. There are a variety of different types of cryptocurrency brokers, however, the two main ones that need to be categorized when it comes to identity is “contract brokers” and “asset brokers”. Keep in mind, both can be used to trade cryptocurrencies, however, both cannot be used to buy cryptocurrencies. With contract brokers, you can buy and sell contracts representative of the price of the underlying cryptocurrency, however, you cannot buy the actual asset (Unless they have a hybrid exchange). With asset brokers, you cannot buy contracts for the asset, rather only buy and sell the asset.
Understanding Bitcoin CFDs
Cryptocurrency trading can be done in a number of ways as stated; traditionally it is done directly on the mentioned exchanges through the utilization of order types such as “limit orders” to specify exactly where and when to buy and sell a cryptocurrency. They can also be traded through what are called CFDs. CFDs are “contracts for difference”, which are contracts that are linked to the price of whatever cryptocurrency is being traded. If you’re trading a “long Bitcoin CFD”, you’re buying a contract that is linked to the price of Bitcoin. If the price of Bitcoin goes up, the contract you own will increase in value, which you can then sell at a profit. An important note in any type of trading is your position in the markets. There are namely two types of positions:
Long: When trading an asset “long”, you are essentially betting that the asset is going to increase in value. If you own a long Bitcoin position, you will make money if the price of Bitcoin increases.
Short: When trading an asset “short”, you’re betting that the asset you’re trading is going to decrease in value. If you own a short Bitcoin position, you will make money if Bitcoin starts to fall in value. This is done by “borrowing” of positions. Upon selling Bitcoin short, you’re borrowing Bitcoin and then selling it, with the hopes that you will then be able to buy it back at a lower value. In a case like that, you’ll make money.
Effective bitcoin trading can take a lot of practice, however, getting started with it is not hard. In fact, many different exchanges offer “Demo Accounts”, which are fake accounts with pretend money where you can trade and test out your methods. In all cases, for cryptocurrency trading, you’ll need to use a strategy, which is essentially a plan of action for when and how you’re going to buy and sell the cryptocurrency. Strategies can change, and there is not one singular strategy that will continue to make money forever. Forming a well thought out, and more importantly unique strategy, can potentially yield massive gains in cryptocurrency trading.
The first step is determining where and how you’ll be trading cryptocurrency, or in other terms, deciding which trading platform to use.
How to Choose a Bitcoin Trading Platform : Video tutorial
Confused about which bitcoin trading broker to choose? Watch our quick tutorial and find the best bitcoin trading platform as well as a step-by-step tutorial on how to sign up and trade bitcoin!
CryptoRocket has become an important name in the market, not only it is a multi-asset broker that offers access to a vast majority of financial markets, but it is also a pioneer in the crypto trading market. The firm currently offers Bitcoin trading through CFDs, allowing individuals to trade BTC with incredibly fast execution. This fast processing allows trades to be opened and/or closed in milliseconds.
Disregarding the type of strategy that you are following for your trading, CryptoRockets offer a platform that will suit most types of trading (swing trading, Day Trading, Scalping, etc). If you are interested in a fast and cheap option to trade BTC like a pro, you should consider CryptoRocket as your go-to option.
Plus500 is a regulated CFD broker where you can trade a wide variety of different cryptocurrencies including Bitcoin, Ethereum, EOS, and more. Plus500 requires a verified profile in order to get started on the platform. You’ll require a document for proof of residence, a valid form of identification, as well as a selfie holding your identification to confirm validity. Plus500 is a great option for those in the UK and Australia as it offers access to CFD trading and also provides an intuitive platform where users can manoeuvre between funding, markets, and portfolio positions all on the same trading portal interface.
How to Trade Bitcoin with Plus500
Plus500 can be used to trade Bitcoin easily. The process for trading on Plus500 is fairly simple. To start, you’ll need to first register for an account on Plus500. You can do so by clicking here and clicking on “Start Trading Now” which will be highlighted in blue.
To sign up you’ll need to enter your email, create a password, and provide a username. Once created, a verification email will be sent to your email that you input. Open it and validate your account by following the link to the new page. The next steps on Plus500 require that your account is verified; for this process, you’ll need to provide 3 documents:
- Valid ID
- Proof of residence
- A selfie of you holding your ID (Same document as in first bullet point)
Submitting the aforementioned documents will require a bit of time prior to being validated by the Plus500 team. However, once completed, you’ll be able to add a deposit method to your trading portal which can be used to transfer funds to Plus500. This can be done as shown below, by navigating to the “Funds” section of the trading portal and adding either a credit card or your preferred payment method.
Once funds are deposited, you can navigate on the same navigation bar as shown above to “Trade”. In the search bar on the market page, look for “Bitcoin” or find it by its ticker symbol of “BTC”. Then, select the “Buy” option which will be located in the same row where assets are listed. Input the quantity worth you’d like to purchase for the Bitcoin CFD, and press “Enter”. Upon execution, you’ll have successfully purchased a Bitcoin contract.
80.6% of retail CFD accounts lose money
An additional trading platform that has garnered global exposure through its innovative trading platform is 24option.com. The platform has enabled Forex and CFD trading for a wide variety of different assets and currencies, cryptocurrencies included. 24Option is also able to be interlinked with MetaTrader4 which is one of the most popular global cross-exchange trading platforms with advanced charting and position mapping. 24Option is a great opportunity for those who are looking to trade on the financial markets from more than just one perspective. The trading platform enables usage for a variety of markets including global equities, commodities, and even foreign currencies (Forex). The site also distributes free eBooks in the form of educational instructional guides; that applies for learning how CFDs function, how to trade them on the platform, and even an in-depth guide walking through the exchange and its functionality.
How to Trade Bitcoin with 24Option?
Utilizing 24Option for its cryptocurrency trading capabilities is easier than it might seem. To get started, simply create an account by logging onto the website and selecting the “Sign Up” button located on the top right of every page on 24Option; you should be able to spot this option no matter which page you’re on. Enter in the information as shown below to begin the account opening process. Ensure beforehand that your jurisdiction is supported on 24Option as well.
In order to further trade with actualized funds, you’ll need to validate your account through 24Options official verification document upload page, which can be found here.
Upon verification, you’ll subsequently need to add a funding method as well if you’re looking to trade with real funds. You can add a variety of different payment methods, including bank account, or credit card; credit card is arguably the easiest option, so in order to do so navigate to “My Account” and then find “Deposit” on the far left side of the page. Entering in your credit card information will allow you to make a deposit to the platform. Upon confirmation (Usually 5 minutes or so), you’ll see the newly deposited funds.
Next, you’ll want to create a trade. To do so, navigate on the same account bar to “Trade”. This will open up a list of different assets to trade. Select “BTC/USD” or BTC relative to any fiat pairing you’d like. This will enable the trading of a Bitcoin CFD paired to the specified fiat. Then, a new box next to the chart will pop up which asks for the number of funds to spend on an order.
Enter in your intended amount to purchase, press “Buy” and await execution. Once completed, you’ve successfully bought a long position for BTC/USD CFDs.
Binance is a rising contender when it comes to global bitcoin trading platforms; although the platform has catered more towards vetting and processing correct due diligence on any and all assets that are listed on the exchange, the exchange has some of the most varied and extensive lists of tradable assets across all exchanges. It should be noted also that Binance does not require absolute verification to begin purchasing and selling assets on the exchange. This is great if you’re looking to immediately get started with a real-time cryptocurrency account and learn the ropes of trading by starting with a small account. Binance also has a variety of deposit methods, which includes over 100 different cryptocurrencies available for deposit as well as credit card purchase availability. Binance maintains a very easy to use interface when it comes to trading; they also enable an “Advanced” trading portal that can be opened if you’re looking to start more advanced strategies and ‘charting’, which is analyzation of price movements placed on a visual scale, and even create more precise order types.
How to Trade Bitcoin with Binance
Trading Bitcoin on Binance is a very straightforward process that can be done quickly and easily. Binance does not require any extended verification for your account as far as providing additional documentation from a user/trader side of things. To get started, head to Binance’s main homepage and select “Sign up” on the top right of the navigation bar. This will be present on every page on Binance’s website. Enter in preliminary information, including an accessible email and a safe/secure password. The next step is simple; you’ll need to add funds to your Binance account. You can do this through two main ways: a fiat deposit or an initial Bitcoin deposit.
Binance runs hundreds of different Bitcoin trading pairs. You can purchase any of these underlying assets by linking your credit card on the platform. To do this, all you need to do is hover over the “Funds” tab on the top right of your account profile on the navigation bar and select “Buy with Credit Card”.
Select from any of the assets that are paired to Bitcoin. For example, once you’ve entered in your credit card information, select from the drop down menu the asset you’d like to choose. In this case, I’m buying Ethereum since the pair to Bitcoin is extremely liquid.
Then, simply select the quantity you’d like to purchase, press “Enter” and wait for the order to execute.
Once you have the paired asset to Bitcoin, you can then navigate to Binance’s market exchange and find the “BTC/ETH” pair (Or any pair you purchased). First, you’ll have to sell Ethereum to Bitcoin since we’re looking to trade Bitcoin in this case, so simply find the “Sell” tab. Enter the amount of Ethereum to convert to Bitcoin.
Once executed, which should be fairly quick, you’ll then have BTC; now, to trade Bitcoin simply find a BTC pair that you’re looking to buy, and instead of creating a sell order, parallel the order with a “Buy”. In this case, after I’ve sold ETH to BTC, I’ve concluded I want to trade EOS with Bitcoin, so I create a buy order on EOS at the market price (Shown below) with my newly acquired Bitcoin.
While purchasing actual underlying assets has its advantages, exchanges such as Markets.com have created a very effective blend of traditional equities and derivatives market trading security and cryptocurrency CFDs. The platform, enabled in a variety of jurisdictions, offers interactive CFD trading with an operating entity overseen by a FTSE250 subsidiary; in other words, the exchange has integrated oversight and trading technology that has proven effective in institutionalized markets where billions of dollars, if not trillions of dollars in capital flow safely in and out of the markets on an almost monthly basis. This level of security demonstrates that Markets.com maintains a level of security in their processing that other CFD brokers haven’t caught up with yet; a clear edge for traders.
How to Trade Bitcoin with Markets.com
Markets.com offers a very high level of security and safety when it comes to trading CFDs especially for cryptocurrencies. The platform is supported and operationally run by a trusted subsidiary company of Playtech, which is a London Stock Exchange listed company, also listed in the FTSE250. Markets.com maintains a very simple and easy to use the platform in terms of overall functionality. To get started on the site, on the top right section of each page, select the “Register” button. This will prompt you to enter in preliminary information such as your email and to create a password. Ensure you select a secure password, and you can move forward. A confirmation email will also be sent to your email which you’ll have to click on to verify.
You’ll then have to verify your account, which is done through a guided, streamlined process through the platform. As shown in the image below, a plethora of common questions that are traditionally asked when it comes to verification are given answers in drop-down menus.
Additionally, you can view the full comprehensive support page, here. Once you’ve verified an account, you can then proceed forward by navigating to your account page and adding a deposit method. This deposit method can be a bank account or even a credit card. Either will work. Link this account, go to “Deposit”, select the quantity of funds you’d like to deposit to the platform, and you can move forward.
Once the funds have settled and been confirmed in your new Markets.com account, you’re then able to trade cryptocurrency CFDs with the deposited funds. In order to do this, you’ll need to navigate to the “Markets” section and find the trading pair you want to engage in. Once selected, press the highlighted “Trade” button. The following panel will pop up.
Here you’ll be able to specify how many contracts of the underlying asset you’d like to buy and how much margin is required to fulfill this trade. On Markets.com you can also specify your stop losses, take profits, or even create advanced custom order types. Simply place the order, and assuming market liquidity, you just have to wait for the order’s execution. Then, you’ll have your own cryptocurrency CFD.
Trading Cryptocurrency in Your Country
There are a large number of platforms that enable Bitcoin trading within the UK. Plus500 is arguably the best option namely because 1.) It is actively regulated by the FCA, and also 2.) It also enables a variety of different deposit methods including credit card and PayPal. These methods can be linked very quickly and easily within seconds.
You can also trade Bitcoin CFDs on sites such as Plus500 as mentioned above; Binance is another alternative. Trading Bitcoin can be done on Binance if you’re in the UK, however, at the moment Binance is not actively regulated by the FCA, and does not enable trading of any contract products such as CFDs. Rather, you’d be trading actual Bitcoin.
Bitcoin can be traded in the USA through a number of different methods. If you’re looking to trade Bitcoin by using an investment vehicle, such as a CFD, which is as previously stated a contract for difference, you can do so on Plus500. When buying a CFD on Plus500, you’re never actually buying Bitcoin itself, rather only its price value, so it can be deemed in many cases, a more efficient vehicle for trading than simply purchasing the asset itself.
You can also trade Bitcoin in the USA through other platforms such as Binance, however, in cases such as these, you’re rather buying the actual asset of Bitcoin, not just a price representation. Trading strategies can just as equally be implemented, however.
If you’re in Australia or New Zealand, buying Bitcoin with PayPal may be restricted in some areas. The ideal answer is to utilize Plus500 and its built in PayPal functionality. Through this method, you’re able to link your PayPal account directly to your Plus500 platform account and fund your trading portal directly through this process. PayPal integration is supported through Australia and New Zealand on Plus500, as well as all trading functionalities. In this way, all that’s required is to verify your Plus500 account, add your PayPal account as a funding method, and fund the account. Then, you’re free to purchase Bitcoin CFDs directly on the platform as instructed previously.
Technical Terms on Bitcoin Trading Sites
Market order – a market order is a type of order used in trading that is customized to essentially execute at the next best available price. This means that if you place a market order, the order will automatically execute relative to the next best price possible.
Limit order – a limit order is another order type used in trading that is more complex and requires more detail entry to execute. Limit orders traditionally function on a price execution basis, which means the order will only execute if the price of an asset passes a certain point. For example, if you have a limit buy order for Bitcoin at $3,000 , your order will execute only if Bitcoin price touches the $3,000 level.
Stop loss – a stop loss is a type of order that is placed relative to an already placed order that says if the position starts to lose “x” amount of value, “stop” the entire position. If you have a buy order for Bitcoin and have a 20% stop loss, you have an order type that if your position loses anymore than 19.99% value, it will close out. This is good protection against potential price swings.
Bid – the “bid” price is the price at which a potential “buyer” in a market (In this case the cryptocurrency market), is willing to spend to purchase a certain asset, or in this case cryptocurrency. If you place a $10 bid for Bitcoin, you’re saying you’re only willing to buy Bitcoin if the price of it reaches $10.
Ask – the “ask” price is the price at which a seller of an asset, say for example Bitcoin, is willing to sell their position at. For example, if a someone has Bitcoin and goes onto a market and places an ask price of $4,000 they are saying they are only willing to sell their Bitcoin to someone who will pay $4,000 for it.
Spread – the spread is referred to as the gap between the bid price and the ask price. In the case of Bitcoin, if the spread is very high, it means there is a large gap between buyers and sellers, meaning markets aren’t moving. If the spread is very low, it can mean there is a lot of market activity since there is such close competition for the next best price.
Volume – the volume of an asset is the amount of that asset that is traded during a set period of time. If Bitcoin has a billion dollar volume over 1 day, it means that $1 billion in Bitcoin was traded throughout 24 hours.
Liquidity – important for all trading, liquidity refers to how fast or slow an asset can be bought or sold. If Bitcoin has high liquidity on an exchange, it means you can buy it and sell it near instantly. If Bitcoin has low liquidity on another exchange, it means that you may have some stagnation when it comes to buying or selling Bitcoin, which means you could be waiting for a while.
Support – “support” is a term used to describe heavy levels of upwards pressure in terms of an asset that is said to be able to keep said asset stable. In trading, traditionally if say for example Bitcoin has very large support at a certain price level, it may be a bit harder for the price to decrease past that level since there are so many buy orders at that price.
Resistance – resistance is a term that describes heavy selling or downward pressure in the case of a market. For example, if Bitcoin has large resistance at $5,000, it means that there are an abnormal amount of sell orders at $5,000 which could mean the price of Bitcoin can have a hard time climbing above that amount.
10 Trading Tips
Cut your losses – use stop losses and make sure you have exit strategies on a position.
Use margin (Responsibly) – many exchanges, including the majority of exchanges listed in this guide, enable margin trading, which lets you trade Bitcoin with more money than you actually have. This means you can make gains faster, but it also means you can lose money faster. Use this margin responsibly.
Use programmatic strategies – if you learn to code, a whole new field of trading Bitcoin can be opened. Through certain algorithms that trade based on finite parameters, there are a plethora of different opportunities when it comes to both analysis and execution that is possible when engaging in programmatic trading.
Learn different methods – expanding your knowledge as far as trading strategies, utilities, and methods will only help you in making the most money trading Bitcoin.
Practice using demo accounts – almost all exchanges, especially ones that support CFD trading, implement “Demo” accounts which are accounts that allocate imaginary money to your trading portal for you to play with. This way you can practice your strategies with fake money before perfecting it and replacing it with real money.
Size your positions accordingly – ensure that whenever you’re trading, you’re putting the correct amount of money into a trade, but also that you’re keeping tabs on specific sizing methods.
Stay up to date on updates and technological changes – Bitcoin and bitcoin trading employs tools and different types of technology that is constantly changing. Try to stay current with new tools, updates, and frameworks that are being released.
Read company news – cryptocurrency prices and volume can be heavily reliant on company news and releases. If Ripple releases an announcement that XRP will be used as the main currency at Santander, that will definitely shift prices upward; staying up to date on this news is important for trading.
Don’t trade emotionally – One of the biggest mistakes a trader can make is trading immediately off of emotions or feelings. This can lead to large losses and irrational movements; the best traders trade strictly without emotion.
Find the best brokers tailored for you – Each person has their own trading style and individual methods they develop. Find brokers/exchanges that are the best created for yourself.
Is It Better to Trade Bitcoin or Buy it Outright?
- Buying outright is associated with longer terms – weeks, months, years
- Brokers don’t enable purchase outright of an asset on margin; rather you’d have to seek a bank or loan provider
- Buying outright enables cryptocurrencies to be owned, sent, and received
- Considerably less risky
- Leverage can’t be used on brokers in an outright purchase
- Buying outright requires larger minimums usually
Best bitcoin trading apps for 2019
As we enter 2019 and the virtual currency market keeps moving forward, there are some crypto-related applications that every single trader and crypto enthusiast must try at least once. Some of them are going to help users trade digital assets, while others will be helping investors to keep track of their portfolio.
The next bull run in the crypto space will attract new investors and users to the space. Thus, having applications that advanced and inexperienced users can download is always an advantage. In this article, we have reviewed and ranked a number of bitcoin apps currently on the market. Read on to find out which bitcoin apps we have found to offer real advantages when it comes to cryptocurrency trading.
Robinhood allows individuals to invest in stocks, ETFs, options and cryptocurrencies. This is one of the favourite applications for millennials in the US market. Robinhood’s main feature is that it does offer its services based on a commission-free scheme.
At the moment, Robinhood is available almost in every U.S. state, but the intention is to reach all the US market. The application is currently supporting different digital currencies, including Bitcoin, Bitcoin Cash (BCH), Bitcoin SV (BSV), Dogecoin (DOGE), Ethereum, Ethereum Classic (ETC) and Litecoin (LTC). It also supports real-time market data for many other virtual currencies in the market.
This application is great for those users that aim at maximizing their profits while trading digital assets. Most of the exchanges have large trading fees. Every single time a user performs a trade, the exchange platform takes a small commission for it. In some cases, they tend to be very high.
With Robinhood, users will not pay for trading fees. The company’s revenue is related to premium services it sells and from interest on money kept in Robinhood accounts. There are some other features such as margin trading that Gold subscribers can access.
The weak point of this application is that it only offers services to users located in the United States rather than in other countries. In the future, they may expand to other jurisdictions as well.
- Accepts US customers
- Offers trading services without fees
- Easy to use
- Great option for newcomers
- Offers support in a large number of US states
- It doesn’t offer crypto-wallet services
- It only offers support for US users
Cash App is one of the most popular applications for buying and sending Bitcoin. Users that have funds on their accounts can simply purchase the most popular digital asset in just a few clicks.
Although the app provides support only to Bitcoin and not other cryptocurrencies, it was able to reach the second position as the most popular apple application in App Store. The Cash Capp, which has been developed by Jack Dorsey’s Square, is one of the most widely utilized mobile payment applications in the U.S. market.
With the application, users can receive and send money with friends and family and it is possible to buy Bitcoin with just a few simple taps. Users can even have a Visa debit card that allows them to spend their proceeds in thousands of shops around the world.
Jack Dorsey has also mentioned that they will eventually be adding support to the Lightning Network (LN) on Square’s Cash App. The Lightning Network is the ultimate scaling solution for Bitcoin that would allow the network to process thousands of transactions per second and with very low fees.
- Simple to use
- Could Support the Lightning Network in the future
- Good for beginners
- Only offers Bitcoin support
- Low sending limits
Abra is a cryptocurrency wallet and exchange that aims to become an all-in-one tool that helps users manage crypto and fiat currencies. The application allows users to buy and sell cryptocurrencies from their wallets. Abra supports 28 virtual currencies and more than 50 fiat currencies. In the future, there might be a larger number of coins added.
One of the interesting things about this application is that all the balances are displayed as Bitcoin (BTC). However, there are two exceptions, Bitcoin Cash (BCH) and Litecoin (LTC) are also shown.
Although there are no fees for users that exchange virtual currencies within the Abra app, there is a small spread in the virtual currencies. That means that those purchasing digital assets will have a different price than those selling cryptocurrencies.
The application offers different ways to deposit funds, including US bank wires, bank deposits, credit card deposits, teller deposits, virtual currencies and more. Some of the fiat currencies supported include AUD, USD, GBP, EUR, JPY and many others.
Several digital assets are supported as well, including most of the top 10 and many others such as Basic Attention Token (BAT), Augur (REP) or ZCash (ZEC).
- Support a large number of cryptocurrencies
- Includes support to several fiat currencies
- Innovative interface
- Provides flexibility to users
- Spreads apply
- No advanced tools for traders
Blocfolio is different than the previously listed applications. This one is not a wallet, it is just a portfolio management tool. This application allows users to easily track and monitor a vast selection of virtual currencies. All the information about prices can be gathered from different exchanges, providing a better user experience.
It provides very useful information for investors that want to have control over their currencies in just one place. Individuals can have the value of a digital asset over a specified period of time and compare the funds it had with the current holdings.
Moreover, the application calculates profit and loss using the current market value and also the net cost that is provided when entering the transaction. The app is also offering a new “Signal” tab that provides news sources from official outlets for each of the digital assets tracked.
There is also an “Explore” tab that provides crypto news from other sites if the user prefers to read information from other sources.
- Offers free services to users
- Investors can add multiple portfolios
- Automatic backup
- It does not offer web support
- It only works as a portfolio
While there is definitely an opportunity in trading and doing it successfully can mean almost seemingly infinite riches, there is just as much the potential for the complete opposite.
This means that although it is possible to trade cryptocurrency and essentially get rich off of it, it is also possible that while trading you lose substantial amounts of your portfolio. For this reason, trading cryptocurrencies should be taken very seriously, especially if investing a big amount of your capital.
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What is the best site to trade cryptocurrencies?
There is a plethora of different sites and exchanges that you can utilize to trade cryptocurrencies. One of the most interactive and customizable platforms for trading cryptocurrencies is Plus500 due to its global appearance as well as hybrid structure in enabling trading of CFDs as well as underlying asset purchasing.
Can you get rich trading cryptocurrencies?
People in the past have in fact gotten rich off of trading cryptocurrencies, however, it is far from a safe and low-risk method of generating larger profits. Trading cryptocurrencies is speculative and reliant upon your own doing.
What is the best cryptocurrency to trade?
There is no strict or explicit cryptocurrency that is the best to trade. Bitcoin and Ethereum are majorly the two underlying assets that are paired when trading cryptocurrency, however.
Can I trade cryptocurrencies in the US or UK?
Yes - there are no laws that restrict trading cryptocurrencies in the US or UK.
How much do I need to get started trading cryptocurrencies?
To get started trading cryptocurrencies, you don't need to have that large of an account. It is generally recommended to get started with around $250 or so; however, keep in mind that with additional margin and financial products such as CFDs, you can trade cryptocurrencies with even larger amounts.
Is trading cryptocurrencies safe?
Cryptocurrencies are very volatile assets that are not regulated on the majority of exchanges they are enabled. Cryptocurrencies are in no way zero-risk assets and carry a higher degree of volatility and risk than other assets or currencies.
Can I use Metatrader to trade cryptocurrencies?
Dependent on your broker and exchange, you can more than likely link Metatrader to your account to begin using Metatrader as a link to trading cryptocurrencies. It's best to check beforehand with your broker, however.
How can I be a better cryptocurrency trader?
When it comes to bitcoin trading, practice is essentially what makes perfect. You will only improve your general skills and be a better overall trader by trading more; use practice accounts, demo accounts, and utilize the informational guides and tutorials that are available on InsideBitcoins.
What is the best bitcoin trading strategy?
This is very subjective, mainly because there is no singular cryptocurrency strategy that is better than the other majority strategies. The greatest strategy and the ones that make traders the most money are the ones that they tailor themselves and begin to comprehend in their own light.
How long does it take to become an expert at trading cryptocurrencies?
With proper dedication and the right diligence, it doesn't take long to get the hang of trading cryptocurrencies. It simply requires a long string of work and dedication in the singular sector.