Bitcoin trading is straight forward. Are you interested in learning about the best way to invest in bitcoin? Let’s get started learning how to trade bitcoin!
Ok, so let’s look at what we are discussing here in more detail.
When was the last time you heard someone talk about getting rich on bitcoin? Like stocks and shares in the nineteenth century, the dot com bubble in the 1990s you can win big on bitcoin if you know what you are doing.
If you have money lying around it can be a great way to spend it and a worthwhile investment
So what is the best way to invest in bitcoin? Here is our guide to bitcoin trading.
1. Invest When the Market Is Low
The best time to get in on bitcoin is after a crash. There is much more volatility in bitcoin than there is in ordinary stocks and shares. This has positives and negatives.
It means you can win big but it also means you can lose a lot more. With stocks and shares or normal foreign currency trading you know your profits can’t fall below a certain point.
The best time to invest then is not at a time when you think that the market is high already and is going to grow further. The time to invest is just after a crash. This is when you know the market is at its lowest and you’ll get the best price and the most amount of value for your shares.
The difficulty is knowing when to cash out. If you are looking to ride a short term ride – buying some bitcoin and waiting for it to increase in value quickly – before cashing out then it’s important not to get greedy.
It’s better to be cautious and cash out just before you think the market is about to peak even if you think it has a chance of continuing to grow as it can still crash. That way you will make a small profit rather than a huge loss.
Other techniques and one favored by many investors is long term investment, riding the storm out and having a strategy over several years or a decade.
Look at long term bitcoin patterns rather than short term crashes.
2. Ask Advice From Experts
The most important piece of advice when it comes to the best way to invest bitcoin is to ask the experts. The cryptocurrency community is large and is often very helpful.
In places like Chiang Mai, Thailand, or San Francisco there are many meetups where cryptocurrency traders come together to discuss different tactics. They can be both social and informative
If this is your first trade then it can be worth getting some advice from successful traders or people who work with bitcoin regularly. You might even want to do some work for a company that can pay you in bitcoin so you have some without having to spend any of your own money.
Also, be clear to practice on trading apps for several months to see what happens. Practise means perfect and this allows you to see what will happen if you adopt certain strategies.
Crypster is a great choice for those who are joining the crypto world for the first time.
3. Different Types of Trading
There are different methods of bitcoin trading that you can use that might result in you making a substantial investment.
The first is day bitcoin trading. This is where you invest at the start of the day and follow a pattern throughout the day to see where it ends up. If at any time you look like you’re going to make a profit then you can cash out.
Day trading is a bitcoin trading method that is quite risky and also involves following the bitcoin news cycles of the day and responding to them. You need to be an expert on crypto blogs and the crypto world to get good at doing this.
Scalping is similar to day trading in that it involves buying and selling in a relatively short amount of time. Instead of doing this once and hoping for a big return, you spread your investment load and make small profits on each short trade.
You make a profit by adding all of these small day trades together rather than betting the whole house on a big payout after a few months or years. These smaller trades are a good first step once you have completed training on the trading training app.
There’s no full-proof system for auto-trading. If there was everyone would be doing it. But there are auto trading systems you can that can trade your bitcoin for you on various patterns.
This is a great way of taking the stress out of trading and allowing you to have a day job at the same time rather than spending all day in front of the computer.
Best Way to Invest in Bitcoin? Find the Way That Works For You
If your thinking about investing in bitcoin then be sure to engage with the community. This is the best way to invest in bitcoin. Attend workshops and talk to those who have been successful at trading bitcoin to learn from them. Places like Chiang Mai, Thailand, and San Francisco are hubs for bitcoin traders so be sure to connect with them.
Then spend some time practicing on a trading app before you dive straight into the real deal. This way you can see what patterns work and which ones lose you money.
Consider investing small amounts of money, to begin with, and also consider day trades and scalping before you start with long term investments. But remember to make serious money, long term investments – over decades – are probably your best option.
If you are interested in bitcoin trading then be sure to check out our vision for Crypster, the world’s easiest crypto trading experience.