Trading Bitcoin On eToro First of all, it is essential to understand that you cannot buy Bitcoin on eToro. When you sign up, and you top up your account with $ and then “buy” Bitcoin, you are not buying it; you are just opening a “buy trade”. Sam Boughedda equities trader Sam is a trader and one of our lead stock analysts at AskTraders. After starting his career predominantly in the forex markets, Sam now focuses on gold and stocks with a preference for macroeconomic analysis. If you’re new to eToro (and . Apr 01, · eToro allows you to trade on cryptocurrencies directly, with their dedicated Wallet providing traders with a place to store a wide variety of crypto options (from Bitcoin to Litecoin). Through eToro’s safe and secure platform, buying and selling cryptocurrencies is a simple, hassle-free process.
Comment trader bitcoin etoroHow To Trade Bitcoin On eToro? (Step-By-Step Guide)
Instead, you are trading a CFD. It allows the trader to speculate on the rising or falling or prices in fast moving or volatile financial markets such as cryptocurrencies, indices, and shares.
In other words, rather than owning or trading the asset, you are just speculating on the change in its value. To open a basic account, all you need to do is fill in your name, email and a password.
From there you can then use the demo account as well as access all of the information that you need such as FAQs and educational content. Should you want to start trading and make deposits and withdrawals, you are going to need to go through the verification procedure.
You will be required to produce a range of documents such as a copy of your government issued ID like a passport, a recent utility bill, and other information relating to your economic circumstances. While it might seem like a headache to have to provide all of this information, just to trade, it means that you are trading with a trusted and reliable provider and that you, your data, and your trading is in good and secure hands.
All of your information is encrypted , and again they adhere to stringent standards set out by the various regulatory authorities that monitor them. There have been no security or data breaches to date, and this is a record that eToro are very proud of as it means that you can trade in peace, knowing you are in good hands. Regular trading is the easiest way of trading on the eToro platform.
Simply put, you just trade what you have, and you do not need to borrow or leverage any margin more about these words in a minute. Investors use leveraged trading to significantly i ncrease the profits that they make on a single investment. Leveraged trading allows you to make a trade without putting up the full amount.
Of course, you would have to repay the coin, plus a small fee once the trade has been concluded, and should you lose, the platform will automatically stop before you lose the asset that you leveraged. There are many different ratios of leveraging available on eToro, but we advise only giving it a go once you have learned about it a fully understood the risks involved. The margin is the loan that you take from the broker , or a peer, to fulfil the leverage ratio of the trade.
For more information, read our guide on to the Bitcoin Leverage Trading. What this means is that you can profit on price rises with a long position and you can also profit when the price falls with a short position.
As Bitcoin is rather volatile and its value jumps around quite considerably, this means there are several good times of day to open trades. For example, if Bitcoin is in a trading range where the value keeps rising and falling within a specific range, you would move to open a long position when it reaches the bottom of that range and then close it when it reaches the top value.
You would then look at the possibility of opening a short trade to profit as the price falls again within the range- based on this scenario you would benefit when the price goes up, as well as down.
Trading Bitcoin on eToro does not have to a complicated process, and with features like the demo account, CopyTrading, and all of the assistance and help materials that are on hand to help you learn, it is very simple.
Due to Bitcoins volatility, it is a rather exciting commodity to trade with, and if it is something you think you might enjoy, why not give it a go now as who knows where its value will take us in the coming months. Megan was born in Poland but from a young age always sought to expand her horizons to a more cosmopolitan way of life.
Today, it offers a more comprehensive feature set than much of the competition. Incorporating social media and social trading strategies more on this later , eToro has created a community of traders. Simply put, if you want a single platform that gives you access to a diverse array of coins, with minimal upkeep and hassle, choose eToro.
This prompts you to allocate some of your funds to making all the same moves the trader does. You can copy up to traders at a time, allowing you to capitalize on a wide variety of strategies implemented by a range of experts. Having this functionality built in to their platform, eToro has ensured that traders do not need to go between separate wallets to successfully trade. You can use various social media tools to discuss trades and strategies before you take a risk.
You can also look at literally millions of trader profiles, observing risk scores, performance statistics, and portfolio history. In an industry where security and regulation is paramount, eToro has ensured their platform covers all bases. They choose these Popular Traders from their own user base — so you, too, could be a Popular Investor one day. Every time someone copies your portfolio, you get paid.
These funds will be added to your account as cash each month, where you can send them over to your bank account. One of our favorite aspects of the eToro experience is how perfectly the platform functions on both desktop and mobile devices.