Bitcoin is currently one of the most profitable markets to trade. Since the low of 2015, the price of bitcoin has jumped up over 300%. The legacy financial markets have been flat and many professional stock and futures traders are starting to see opportunity in cryptocurrencies.
There are many benefits to trading bitcoin:
- You can trade with any amount
- There are many diverse exchanges to choose from
- It’s one of the only free markets in the world
- It’s one of the most profitable markets to trade
- The markets aren’t dominated by bank controlled HFTs
If you’re new to trading bitcoin then here are 3 easy steps to get started.
#1: Sign up to an Exchange
You’ll need to open up an account on a bitcoin exchange. You can purchase bitcoins directly from the exchange or separately and send them over.
Bitfinex is the #1 USD bitcoin exchange in the world and one of my favorites. They offer margin and spot trading for the top cryptocurrency markets such as bitcoin, ethereum and litecoin.
What’s nice about Bitfinex is that you can trade bitcoin without needing to submit personal information.
Use this link and save 10% off 6 months of trading fees.
#2: Build your Strategy and Study
Trading without studying a strategy is like running onto the battlefield naked, blind and without a sword. Most beginners lose money because they rush in without a plan and trade based on emotional whims.
Don’t be greedy because there are no short cuts. Professional traders can make a lot of money in a short period of time but they’ve put in the hours to get to a level of proficiency. Patience and persistence can pay dividends.
There are many free resources available online to help you get started. To read something more specific to trading cryptocurrencies you can get a copy of the book Bitcoin: How to Trade it for Serious Profit.
It also helps to have mentors and to be a part of a professional trading community. Private trading communities differ from public forums because you get higher quality interactions with serious traders.
Those who want to take things to the next level can invest in deeper trading education.
Studying theory and having a trading plan is the easy part, the hard part is execution. Most traders find that managing emotions and sticking to a plan can be difficult.
Only hands-on experience can make you a proficient trader. Years of experience in trading can teach you how to stay calm under pressure, cultivate patience and how to stay objective.
If you would like to take your trading to the next level then join our