Bitcoin is one of the top rated cryptocurrency which everyone is talking about. Its value rose from $10 to $19,000 in few years. No stock or currency has this much growth in few years. And it has had made many people millionaires. So, a lot of craze has started among people for bitcoin. And now, many people wanted to make money with bitcoin and wanted to become millionaires. Yeah, who does not want money? Everyone wants money and that to quickly. There is no shortcut to making money. Even if it comes with bitcoin also, it takes time and a lot of experience.
By the time i am writing this article, the bitcoin value is at $13768 pet bitcoin. So how exactly people are making money from bitcoin and what drives bitcoin’s price higher and higher?
So first things first, for any stock or currency, if there are more buyers, then the price will increase and if there are more sellers, the price will decrease. If more people think that Bitcoin’s price will increase, then more people will buy bitcoin and eventually its value will increase. So, the early buyer who buys bitcoin at lowest price will get maximum revenue. When the price reach good value, you can sell it and get your money. So, the difference amount from buying and selling the bitcoins, you will make money from that.
So, the more money you invest in it, the more you will make. If occurs oppositely, then you will lose.
Today, i am going to show you how to trade bitcoin.
Bitcoin can be traded in two ways.
Let’s talk about Forex brokers first. You need a Forex trading account in order to trade bitcoin. Many forex brokers are now offering bitcoin for trading. So, you can buy and sell bitcoin in that trading account.
For demonstration, i am considering the following broker
Register an account with them first. They provide both demo and real accounts. If you just want to know how trading works, then you can sign up for a demo account and play with it a little bit. And once, you are confident enough, you can open a real account.
But usually, most people find good success in demo and failure in Real accounts, this is because, they don’t trade the same in real and demo. When it comes to real money, their emotions will play instead of their thinking. So, my advise is to start with real account itself, so you will know how exactly it will works.
So, after you register an account with them, you will get login details for your trading platform. Usually, most of the traders use, Meta Trader for trading a currency or stock or crypto.
Download the meta trader by signing into your xm.com account. And log into your meta trader using the login details you got in your email.
Once you got logged into your metatrader, here is how it will look like.
Now, if you want to buy or sell Bitcoin, here is how to do that.
Click on File > New Chart > BTCUSD
Now, the bitcoin price chart will open up.
See, whether Bitcoin’s price will increase or decrease, decide yourself.
Now, click on New Order on your toolbar. You will be asked to select the volume. The volume will be in lots, 1 lot is equal to 100,00 USD and it may vary depending upon the type of account you open with the broker. Check with them for more details.
Select the lot and click on Buy or Sell by choosing Market execution if you want to buy or sell at current price. Or if you want to buy or sell at desired price, you can place limit orders.
After you place the trade wait and watch, when the price increases and you are in profits, close the trade and make money trading bitcoin. Trading requires extensive research and strategies, without those you are putting your money at risk. Make sure what you are doing when trading.
Another way to trade bitcoin is through cryptocurrency exchanges.
With exchanges, you buy bitcoin and store in your bitcoin wallet and send bitcoins to anyone. Here are some of the popular cryptocurrency exchanges where you can buy bitcoins and other cryptocurrencies.
To get started with cryptocurrency exchanges, first you need to register an account with them. After that, in order to trade in cryptoexchanges, you need to deposit any crypto currency into your exchange’s crypto wallet. Most people start with depositing bitcoin into exchange’s wallet.
To buy bitcoin, you can use the following website
Here, you can buy bitcoins with your credit card, paypal or bank transfer. Just initiate a trade with seller for your local currency and in exchange you will get bitcoins. Provide, your exchange’s bitcoin wallet address to the seller in Localbitcoins.com.
Once you pay them your real money, they will send you bitcoins to your wallet. Localbitcoins.com is safe to use, as they use escrow service, so your money is protected by them.
Once you get bitcoins in your wallet, wait for your turn, when the price increases just sell the bitcoin and make money from the margin you get by selling.
Apart from this, you can also make money by mining bitcoins which is only for tech guys. If you are newbie and had no computer hardware knowledge, its difficult to understand that or you can buy a pre configured mining rig to make some money.
Know your thoughts through comments. Thanks