You’ve probably heard or read of people making it big from trading bitcoins. Perhaps the idea of people cashing out huge sums by investing in this ‘invisible currency’ still doesn’t make so much sense to you. Well, read on and let’s find out how you too can make a living from buying and selling cryptocurrencies – bitcoin.
What is Bitcoin?
Bitcoin gained its popularity since 2016 when media houses gave the coin so much attention with headlines like “Bitcoin – The end of paper money,” “The New Get Rich Quick Scheme” “The Introduction of a Universal Currency,” amongst others. Now, what exactly is Bitcoin?
Bitcoin is a cryptocurrency, a kind of electronic cash. It is a decentralized digital currency system designed to work without control of either central bank or any central authority. The cryptocucrrency was founded by a researcher named Satoshi in 2009.
How can I Trade in Bitcoins for Profit?
Now, here’s the big question. But before anything, you have to create an account with any trading platform and set up your wallet. After your registration, go to the assets and select your preferred currencies. Every platform has several important indicators. It is noteworthy that you observe these indicators critically before you invest.
Buy and Hold
Although bitcoin mining is unarguably the surest and, somewhat, easiest way to get bitcoins, the hassles involved can be discouraging. The required computer hardware and the time consumption makes it least preferred. So, to avoid this herculean process, we opt for a less stressful option.
It’s simple. Just punch in the amount of coins you want right from your bank and “buy”. Yes, that’s all. Now, take a chill pill and see your investment grow – based on the change in price. This rather simpler method is referred to as exchanging. There are several exchange platforms that renders this service. Interestingly, you can trade in different fiat currencies – GBP, AUD, USD, EUR etc. And besides bitcoin, Ethereum, Litecoin etc are other alternative coins you could trade in for profit.
If you have knowledge of Forex, bonds, and stocks exchanges, then crypto-trading wouldn’t be a hard nut to crack. You can choose from a wide range of bitcoin brokers. On these platforms, you can easily trade bitcoin for fiat or fiat for bitcoin. Ensure you study to find the most favorable pair based on changes in price. The trading platforms offer you regular updates on price and other indicators which will offer you useful tips that will guide you in making the best decisions.
Bitcoin as Shares
Besides trading bitcoin for profit, you could also invest in companies that do back and forth trading in bitcoin. All you have to do in this case is invest in the company and sit back. Did you just say ‘just like that?’ Yes, it’s no rocket science. These organizations usually payout benefits on monthly basis.
Why You Should Invest in Bitcoins
Well, there are no investments without risk – bitcoin isn’t different. So, it’s all up to you to decide whether or not to try out this investment. But if you’d asked me I would confidently say “go on and invest.’ Why? Because of the high potentials of the cryptocurrency market; and bitcoin in particular. And of all these cryptocurrencies, bitcoin is the first, biggest, and most recognized. Sounds like your best bet, right? Yes it is, currently. And of course, the current short term volatility will eventually cause bitcoin traders to smile to the banks, soon. In fact, this is the best time to invest – as the prices are down – so when it gets back to its high in the near future, you too can share your testimonies.