Wondering how to start investing in Bitcoin? Don’t know what investment strategy will be best for you? You’ve got it right! In this article you will learn everything about investing and how to start making money on Bitcoin.
Investing in Bitcoin – what to know before you start
Bitcoin is the most popular and the oldest crypto in the world. It is also the most frequently chosen digital coin when it comes to investing in cryptovalots. No wonder – in just five years, from 2015 to 2020, Bitcoin recorded as much as 3500% return on investment. However, before you start investing in Bitcoin, there are a few things every beginner investor must remember. If you are just beginning your adventure with cryptovalots you need to know how to properly secure the coins you buy. When investing in cryptovalots, privacy and security should be the most important issues for you. Remember not to give anyone your private address to the stored cryptovalots. Anyone who gets a private key to a public address in a chain of blocks can authorize transactions. This means that in a few moments you may lose all your funds and you will not be able to recover them.
Start by choosing the right crypto wallet – you can bet on software wallet or hardware wallet. Wallets using software are mobile applications that connect to a regular bank account. Thanks to that you can have quick and easy access to purchased bitcoins. Hardware wallets, on the other hand, are physical devices that work like a flash drive and store private keys in a secure way. A wallet of this type, if not connected to another device, will be offline at all times. This guarantees that your funds are safe and no one has access to them. Whenever you want to send your crypto, you can simply connect your wallet to a computer or other device, enter your PIN and send the funds. Once the transaction is complete, disconnect the device and store it in a safe place.
Bitcoin – how to start?
If you have chosen how to store your cryptovalut, you need to create a Bitcoin wallet. This is a type of digital account that makes buying, storing and selling bitcoins easy and convenient. Creating a bitcoin wallet takes less than a minute and you can do it online. All you have to do is create an account on the CoinCasso crypto exchange and open a Bitcoin account in your user panel. Before you decide to invest in cryptovalots, you need to choose the right cryptovalot exchange for you. There are thousands of offers on the market that offer the possibility to buy, sell and store cryptovalut, but how to choose the best one? CoinCasso is a crypto exchange registered in Estonia, which has all the necessary licenses to operate safely according to the regulations. With CoinCasso you have instant credit or debit card deposits, secure two-component login, the world’s most popular cryptovalutes and support available 24 hours a day in multiple languages.
Bitcoin is now a great investment. As the popularity of Bitcoin grows, the volumes of all cryptovalut are constantly growing. Remember that when you start your adventure with Bitcoin you do not have to buy a whole, one Bitcoin. If you don’t have any funds, you can buy a certain, smaller portion of Bitcoin (the so-called Satoshi). Wondering how to start investing in Bitcoin? You have to remember that it is not only buying and selling a cryptovalut, but also the whole strategy, which is influenced by many factors. Below we will describe three main strategies for investing in cryptovalots:
This is probably the only investment strategy that will bring you quick profits and transform trading into a full-time occupation. This strategy involves opening multiple trades a day and using historical data and technical analysis to predict upcoming price trends. In short, traders open small positions for a short time and hope to make a quick profit. This strategy is possible on exchanges that allow trading on the leverage. This has allowed experienced traders to make even higher profits with smaller price changes.
For example, one person can see the upward trend on a specific chart on a BTC/ETH pair. On this basis, he will buy ETHs with BTC (with or without leverage) and then close the trade as soon as the target profit percentage is reached. As a result, such a trader will increase his position on BTC in a very short time. Generally speaking, swing trading is a great strategy to implement during a bearish period, when trading is more profitable than hodling. If this strategy is implemented correctly, it can help to multiply profits in a short time.
This is a more long-term investment strategy. It consists in taking a specific position for a few weeks or months while closely observing market sentiment and long-term trend lines. Unlike swing trading, trading positions often yield higher returns with less risk.
Bitcoin – how to start making money?
If you still don’t know how to start investing in bitcoin, try the simplest trade’ing strategy – hodling. Hodling is about buying cryptoes when they fall and waiting for their price to go up. This is the best trade’ing strategy for beginners. Why? With this strategy you do not have to worry about the daily market fluctuations. All you have to do is check the bitcoin price and its chart once in a while. How to start bitcoin and trading? If you master the breeding technique, you can switch to more advanced investment tactics.