What is Bitcoin? It is a decentralized digital currency. Bitcoin trading has gained a lot of popularity over the years, and many people have taken this opportunity to make money online. Who can trade Bitcoin? Bitcoin trading is not reserved for a selected few, anybody with a capital and a valid identity document is eligible.
If you had invested in Bitcoin as at 2009, by now you would have been in money; however, most of us were ignorant. It’s never too late to start; you can still make money with Bitcoin now. In this article, you will learn why trading Bitcoin is essential to your financial status.
To make money
The primary reason why we will want to trade Bitcoin in the first place is to make money. Making money trading Bitcoin is pretty straightforward, but requires a lot of dedication and patience just as it is needed in other forms of business.
Bitcoin trading entails buying low and selling high which actually sounds attractive and easy, however, with the necessary tools and analysis skills, Bitcoin trading is made easy and headache-free.
Low cost of trading it
Many platforms allow the trading of Bitcoin; they are called Bitcoin exchanges. The sweet thing about this exchanges is that their traction fees are minimal allowing you maximize your profit.
How much do you need to start trading bitcoins?
The first thing to do is to acquire enough knowledge before considering how much to use as capital. It makes no sense to invest in something you are utterly ignorant about. I WILL BEGIN A TUTORIAL SOON ABOUT HOW TO TRADE BITCOIN. You can use any amount from 500 naira to start trading Bitcoin, it all depends on how much you are ready to risk and how much profit you want to make. But remember the smaller your capital, the smaller your profit and vice versa.
How much can you make trading bitcoins?
Trading bitcoins is not a get rich quick scheme, but, it can be highly lucrative if only you know what to do. The question of how much you can make depends on some factors such as
- Market spread
- Market range
Market spread: market spread is simply the difference between the highest bidder and the lowest seller. How does this affect your profit? In trading forex or Bitcoin, we take advantage of the spread to make money, which implies, the wider the spread, the more gain we get and vice versa.
Market range: market range can be referred to as the distance the market will go or has gone. The higher the market range from your entry point, the greater your profit. In most cases, a trade entered close to or on support regions will enjoy more range than another placed high above the support zone.
Market range can also be referred to as spread in some cases.
Market News: there is specific news that can trigger a particular behavior and consequently affect prices. For instance, news in support of Bitcoin will increase the value of bitcoins and vice versa. This is the reason why I always advise that reading news is paramount to your success as a trader.
Let us know what you think about Bitcoin trading in the comment section. Remember to share.