Bitcoin trade – I guess you might have read this on the internet or any crypto site that pops up on your computer screen. No doubt about it – Bitcoin and the other cryptocurrencies are becoming a tough contender to traditional currencies.
Bitcoin’s price history says that a lot of volatility to expect with Bitcoin in the coming months. Bitcoin’s volatility attracts most business owners and investors to jump to the Bitcoin trade. But the Bitcoin trade could be a little risky if you consider the “always changing’ Bitcoin price.
So as a futures trader, you need to know the basics in Bitcoin trading. These steps to trade your first Bitcoin would run a long way in the future.
IG Trading Account – First Bitcoin Trade Requirement
Bitcoin trade, like other crypto trading’s, requires an account so that you can buy or sell using bitcoin. Your IG trading account is your profile once you connect with Bitcoin buyers and sellers. Account creation takes only minutes to make. Once you add funds to your account, you can prepare for the second step.
Trading Plan Essentials
Wise newbie traders don’t jump to the trading world unprepared. A trading plan is important so you can create decisions that allow a smooth and successful bitcoin trading. (For example, your decisions influence your actions not to leave open trades very early or close a trade too shortly).
The following are trading essentials every trader should consider:
- Set your trading goals (short or long term)
- Be ready to take risks from the trade
- Choose your risk-reward ratio (With this, you’ll know the profit needed to justify losses)
- Select the markets you prefer to trade. (These markets could be bitcoin or other cryptocurrencies).
Bitcoin traders need past and new information in order to understand bitcoin. The latest bitcoin and crypto news allow traders to know and understand the moving bitcoin price.
Charts are excellent tools so that a trader could interpret a Bitcoin’s activity. For example, past info is a good source for you to understand the market’s movement. Timeframes offer data when it comes to upcoming trends.
Make a Trade
Once you made and understood your research, the next step is placing your trade. It’s simple to place a trade using Bitcoin:
First, place the Bitcoin amount you like to trade. Then, you set the conditions you want to make. The conditions you might choose are to stop and limit the trade.
So, how do you choose between the conditions?
Here’s an example: If Bitcoin moves against your favor, you can choose to stop. Limit your position if the market is according to your favor. Traders can achieve effective risk management in Bitcoin trading by doing stops and limits. You need to be familiar and observe market movements so that you’ll know the condition to choose in any situation.
Bitcoin might rise and fall, so traders should make wise objective decisions in order not to experience great losses. So, you need to buy Bitcoin if the Bitcoin value rises. If the value falls, it’s an excellent option to sell the cryptocurrency.
Note: Do the reverse of your trade to close your position. You need to sell a similar Bitcoin price if you bought it. Once you sold Bitcoin, the next step is to buy one.
Traders can get the most on Bitcoin trading by following the basics above. You can level up your Bitcoin trading by joining the BTC Era now. Here, traders have many opportunities to become successful in Bitcoin trading.
Bitcoin traders are open to many opportunities that allow them to become rich. Expect to experience luxury life once you make successful trade all the time. Become a successful Bitcoin trader and achieve your dreams!