- Bitcoin Day Trading 2020 – Tutorial and Brokers
- Day Trading VS Longer Term Investments
- Bitcoin Brokers in the Netherlands
- Bitcoin Day Trading 2020 – Tutorial and Brokers
- Site to day trade bitcoin
- Need BitCoin?
- Best Bitcoin Exchanges for Day Trading 2020 – Start Day Trading with the Best!
- Trading cryptocurrencies for dummies.
- Bitcoin Chart
- What Is Bitcoin?
- Why Day Trade Bitcoin?
- Why Should You Day Trade Crypto Currencies
- Bitcoin Wallet
- What You’ll Need To Start Trading
- Step 1 – Find out the price
- Crypto Currency Day Trading
- Step 2 – Pick a broker
- The Best Bitcoin Exchanges
- Step 3 – Capital
- Step 4 – Bitcoin strategies
- Cryptocurrency Day Trading
- Best Exchanges for Day Traders
- I Tried Day Trading Bitcoin for a Week - Beginner Crypto
Bitcoin Day Trading 2020 – Tutorial and Brokers
Bitcoin day trading has seen a huge surge.
Day Trading VS Longer Term Investments
With plenty of volatility and price movements, it’s an ideal day trading market with huge trading volume per day. This page will outline bitcoin strategies and tips, plus highlight why a day trader looking for profit should delve into the BTC world. Use the broker list to compare the best bitcoin brokers 2020.
Bitcoin Brokers in the Netherlands
BitMex offer the largest liquidity Crypto trading anywhere.
Contracts from $1
With the cryptocurrency pairs available on all accounts, NordFX traders can trade with spreads of just 1 pip. Trade 11 Crypto pairs with low commission.
IC Markets offer a diverse range of cryptos, with super small spreads.
They also offer many cryptocurrencies not available elsewhere, without the need of a virtual wallet.
Finq offer some really tight Crypto spread on the leading cryptocurrencies, plus 1:2 leverage
Cryptocurrency Trading is available via CFDs on the MT5 binary.com platform
Invest.com provide portfolio management plus standard trading.
Leverage and spreads improve with each account level - Bronze, Silver or Gold
New Forex broker Videforex can accept US clients and accounts can be funded in a range of cryptocurrencies. Payouts reach 95% per trade.
Zulutrade work with a range of brokers that deliver trading on a huge range of cryptos - See each brand for specifics
BinaryCent are a new broker and have fully embraced Cryptocurrencies.
In addition to offering many alt-coins to trade, BinaryCent also accept deposits and withdrawals in 10 different crypto currencies.
Alpari International Offer crypto trading on the major Cryptocurrencies including Bitcoin and Ethereum
Pepperstone offer trading on the major Cryptocurrencies via a range of trading platforms.
Fusion Markets are delivering low cost forex and CFD trading via low spreads and trading costs.
Their message is - Stop paying too much to trade
Bitcoin Day Trading 2020 – Tutorial and Brokers
Leverage of 1:2 is also available.
76.4% of retail accounts lose money.
73% of retail CFD accounts lose money.
[Not available in Canada]
71% of retail accounts lose money with this provider.
Site to day trade bitcoin
No virtual wallet required, just a trading account.
69% of retail accounts lose money with this provider.
77% of retail accounts lose money.
Trade crypto with the safeguard of negative balance protection.
76% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
CFDs carry risk.
64% of traders lose.
75% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
Specialising in Forex but also offering stocks and tight spreads on CFDs and Spread betting across a huge range of markets.
77% of retail accounts lose money with this provider.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.
70.16% of retail investor accounts lose money when trading CFDs / Spread betting with this provider. You should consider whether you understand how CFDs / Spread betting work and whether you can afford to take the high risk of losing your money.
They also offer negative balance protection and social trading.
77.2% of retail accounts lose money with this provider.
Chose from micro lots and speculate on Bitcoin, Ethereum or Ripple without a digital wallet.
80% of retail accounts lose money.
68.15% of retail accounts lose money.
72% of retail accounts lose money.
82.11% of retail accounts lose.
Companies under the FXCM umbrella are also regulated in Australia and Canada.
73.62% of retail accounts lose.
Best Bitcoin Exchanges for Day Trading 2020 – Start Day Trading with the Best!
Major cryptos traded against USD, GBP and EUR
78.3% of accounts lose money when trading CFDs.
83% of retail accounts lose money.
68% of retail spread betting accounts lose money with this provider.
FCA and ASIC regulated.
68.5% of retail investor accounts lose money when trading CFDs with this provider
86.24%% of retail accounts lose money with this provider.
Show All Brokers ⇩
What Is Bitcoin?
Bitcoin is part of the emerging cryptocurrency market.
Whilst cash is made of paper, bitcoins are basically clumps of data. Scrapping the bank or governmental middle man that act as an intermediary for your money, cryptocurrencies enable the transfer of money directly between individuals, utilising secure blockchain technology.
The blockchain is a secure ledger of transactions. Digital coins can be mined by processing complex mathematical algorithms.
The blockchain network records each transaction, securing the entire process – but crucially – speeding it up. Charges are made per transaction.
Bitcoin was the first cryptocurrency to utilise the technology, and subsequent growing pains have led to ‘forks’ in the process. This resulted in the introduction of Bitcoin Cash.
Other currencies then tried to improve the process, both in terms of speed, but also, costs and energy requirements. Ripple, Ethereum and Litecoin all claim to be superior to Bitcoin.
The vast wealth of bitcoins are held in the hands of a few, so bitcoin is bought in fractions as low as one-hundredth of a million, which equates to just less than one-tenth of a cent currently. This means anyone can dabble and explains the boom in bitcoin trading volume per day.
The current cryptocurrency market is estimated to be worth around $148 billion, but analysts believe that figure could climb to a staggering $1 trillion by 2019.
This makes day trading bitcoin an appealing proposition. Bitcoin makes up half of the cryptocurrency market and Roger Ver, Bitcoins CEO, believes ‘it’s the dawn of a better, more free world’.
Whilst that remains to be seen, it does have certain attributes that make it tempting for those looking to make money day trading bitcoin.
Why Day Trade Bitcoin?
- Never a dull moment – With swings of over 10% in a matter of hours, this volatile market should give you the chance to find traceable action, and a potential profit for a savvy bitcoin day trader.
Put simply – it’s an exciting market to day trade in. So unless you hand over your trust to a day trading bitcoin bot, you’ll have fun glued to the screen.
- Ideal for those comfortable with Forex – You don’t need to understand the complex technical world of cryptocurrencies and bitcoin.
It’s basically a currency, enabling you to apply the same thought processes when you’re day trading bitcoin as you would when you’re day trading Forex.
- Potential for leveraged trading – Some bitcoin exchanges offer leveraged trading, which could give you greater exposure to upside and downside price risk than your trading budget may normally allow.
- Universal access – You can start day trading bitcoins anywhere on the planet, 24 hours a day, 7 days a week, 365 days a year.
You simply need an internet connection.
Why Should You Day Trade Crypto Currencies
Plus, because you’re day trading you don’t need to have a long term view about whether cryptocurrencies will succeed. In addition, whilst the stock market can be a pricey place for normal investors, with Facebook and Apple shares costing around £110 per share, you can dive into the cryptocurrency market with just a dollars or pounds.
- Low day trading bitcoin fees and taxes – Compared to many traditional exchanges, bitcoin focused exchanges offer low fees and minimums.
- Go Long or short – Each day is different, you can be bullish and bearish the same week.
To actually own bitcoin (rather then speculate on the price), you need a digital wallet to store your cryptocurrency.
There are a whole range of wallet providers out there, but we like Hodly. It offers higher levels of security than most and is backed by large, regulated brokers.
Coinsquare offer a similar service in Canada and across Europe.
What You’ll Need To Start Trading
So you want to make money day trading bitcoin?
Now you understand why to trade and what you’re trading, but here’s a bit more detail on the how.
Step 1 – Find out the price
One of the first things you’ll need to know is what the price is. To do that you’ll need to head over to an index or broker to see the latest traded value.
Crypto Currency Day Trading
You can also use orders – open orders or limit orders – to enter the market at the point you want to.
Step 2 – Pick a broker
One of the biggest decisions you’ll have to make is which exchange or broker to deposit funds with. Day trading bitcoin on Coinbase has become particularly popular in recent years.
Coinbase acts like a digital wallet, allowing you to transfer currency with ease from an app. However, there are other choices too, including:
Away from the direct exchanges, there are also brokers that will allow you to trade the underlying asset of Bitcoin, without actually owning it.
It can for example, be traded within a forex pair against the US dollar. Other brokers, such as IQ Option, will also allow you to speculate on bitcoin via CFDs or spread bets.
The Best Bitcoin Exchanges
Our broker table will show which firms offer one-click trading of bitcoin.
Step 3 – Capital
Before you can make money day trading bitcoin you’ll need some capital to start with.
The internet is packed full of warnings about losing all your money so let’s keep this brief.
Whilst you find your feet, using a small amount is advisable. It’s also worth highlighting that you should never trade more than you’re willing to lose. Be strict and regimented with what you can and can’t afford to lose, and you’ll never need to worry about losing out to the cryptocurrency market.
Useful tip – If you’re using credit cards, you may get charged up to 3.99%, so keep an eye out for credit cards that offer 3% cash back so you can negate part of the cost.
Step 4 – Bitcoin strategies
Rodger Federer doesn’t step onto the tennis court without a clear trading strategy, and you shouldn’t start day trading bitcoin without one either.
Cryptocurrency Day Trading
Some people seek the assistance of a bitcoin day trading bot, others rely on their own technical analysis and judgement.
Nearly all bitcoin day trading tutorials will suggest you utilise price charts and have an effective money management strategy. This will help you keep losses at a minimum and profits high.
Reading the charts
Whilst you will find an abundance of line and bar charts, don’t make them your bread and butter.
Candlestick charts offer you the most information in the smallest amount of space. From them you can learn several essential bits of information:
- What was the price when it opened and closed.
- How high the price got during the time frame, as well as how low it dropped.
- If the candlestick is green, then you know the price closed higher than when it opened.
- When it’s red, it tells you it closed lower than when it opened.
- If the chart is mostly green and heading upwards, you’re in an upwards trend.
- You know if the chart is mostly red, you’re in a downwards trend.
When using your chart ensure you have the right timeframe settings.
For day trading bitcoins you want charts that are between 1-30 minutes.
If you want to make money day trading bitcoin you’ll need to get familiar with candlesticks and their indicators (see example below). It isn’t uncommon for bitcoin to fall into a repetitive trend for months on end. If three of the last four candlesticks have been red, then there’s a good chance it’s going to carry on heading that way, unless the RSI suggests it’s been seriously oversold.
On Balance Volume Indicator
Whether you were day trading bitcoin in 2015, or day trading it now in 2017, consider using the on balance volume (OBV) indicator.
Best Exchanges for Day Traders
It utilises an intelligent combination of price and volume activity to tell you what is the total money flowing in and out of the market currently.
How do you apply it to Bitcoin?
If bitcoin trading is on the rise whilst the OBV trading is heading south, then you know people are selling into this rally, however a move to the upside would not be sustainable.
The same logic can be applied in reverse.
Another one of our top tips – It is imperative you utilise multiple news sources. Bitcoin value is extremely reliant on public perception, so news events can trigger spikes. Some of the most useful and user friendly news sources out there are:
- Bitcoin Magazine
- The Street
- Coin Telegraph
- Business Insider
- Brave New Coin
When it comes to useful bitcoin day trading tips, many suggest that if there is zero negative news about bitcoin and cryptocurrencies in general, then it could well be the right time to sell.
On the flip side, if there’s positive news then it could be time to buy.
Use this is a broad guide for day trading bitcoin and you’ll avoid some pitfalls and utilise some opportunities, hopefully making for a substantial bitcoin day trading profit.
So you’ve read this page thoroughly after browsing about day trading bitcoin on reddit, and now you’re ready to make serious cash but are there any potential risks and if so, what are they?
- Regulation – Bitcoins and cryptocurrencies are relatively new, making their future somewhat uncertain.
I Tried Day Trading Bitcoin for a Week - Beginner Crypto
People don’t know how governments will react further down the line and how stringent regulations will be. Could regulations cripple the market entirely?
- Dangers of volatility – Bitcoin is the most volatile of all assets, including the stock and gold markets. Whilst volatility brings with it opportunity to day trade bitcoin for a profit, it also brings with it doubt and unpredictability.
For example, in June 2017 bitcoin was being traded at $2,983. It then lost 30% in value and crashed down to $1,992, only to climb up to $4,764 in September, boasting a 139% gain. You must ensure your bitcoin day trading strategies take into account the uncertainty.
- Exchange risk – Whilst your Bitcoins can’t disappear, the transactions you do are permanent and only the recipient can refund them. This means you must only do business with those you either know, trust or are widely reputable.
- Payments / Charges