Learn How to Trade Bitcoin: [Most Comprehensive Quick Start Guide]

How to Trade Bitcoin: Quick Start Guide

Every time the price of Bitcoin rises, new investors and speculators, want their share of the profits. It is extremely easy for anyone to trade Bitcoin as the barrier to entry is very low. So how do you get your slice of the cake?

Why should you trade Bitcoin?

The reason you should invest in Bitcoin, and cryptocurrencies in general, is because there is nothing quite like it. There are several features that make trading Bitcoin exciting and unique.

Bitcoin is not Fiat

Bitcoin is not a fiat currency, that is, it is not under the control of a single government. So instead of a single economy having absolute dominance over the price of the asset, the price of Bitcoin has reacted to a wide range of events.

# 1 Brexit

The UK’s decision to leave the European Union has caused quite a stir in its local economy. As a result of this, the giants of the Binance exchange had stated that they had been overwhelmed by registrations for their New Jersey-based trading platform due to insane demand. Binance Jersey allows users to exchange Euros and British Pounds with bitcoin and Ethereum and access digital asset management services.

# 2 the demonetization of India

The demonetization was a move by the Indian Prime Minister, Narendra Modi, who earned Rs. 500 and Rs. 1000 banknotes of non-legal tender. Just 18 days after the declaration of demonetization, the price of Bitcoin on Zebpay, one of the major exchanges in India, rose from $ 757 to $ 1,020. (Back then, BTC was trending $ 770 in the US.

# 3 Trump’s election

In the immediate aftermath of Trump’s victory, markets began to fall. The Dow Jones, the S&P 500, and the Nasdaq were plummeting. In the same way, Australian markets lost $ 30 billion. However, Bitcoin was a completely different story. Just before election night, it jumped to $ 740 due to troubles the Mexican peso encountered. After that, it dropped to $ 705 and then $ 739 as soon as Trump was elected.

Bitcoin is open 24 hours a day, 7 days a week.

Unlike the stock markets, Bitcoin is open 24 hours a day, 7 days a week. The reason is that securities markets are specific to the country in which they operate and generally reflect the working hours of that country. Anyone can buy bitcoins on most exchanges. There are hundreds of exchanges around the world that operate 24 hours a day, 7 days a week. !

Bitcoin is volatile

Bitcoin and cryptocurrencies, in general, are infamous for their rapid and frequent price movements. This volatility can help traders make money quickly and easily.

How does Bitcoin work?

Before investing in an asset, you should at least know how it works. We have covered the mechanics behind cryptocurrencies several times here in detail. However, for the uninitiated, we will give a brief overview. If you already know the mechanics, skip to the next section.

Blockchain technology

  • Check the records that have been posted to the general ledger.
  • Check the time those logs were recorded.
  • You cannot modify any of the entries previously made because the ledger is immutable. This property of immutability is one of the most important characteristics of the blockchain and gains it through cryptographic hashing functions.

How do the transactions work?

One of the most valuable things about Bitcoin is that you don’t have to go through a bank to send a transaction. As the community likes to say you are your own bank. So how do they manage to do that? Through public key cryptography.

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