01 logo

how to trade cryptocurrencies?

how do you trade cryptocurrencies?

By Justin NorteyPublished about a year ago 4 min read
Like

What's cryptocurrency trading?

Cryptocurrency trading is the buying and selling of cryptocurrencies on an exchange. With us, you can trade cryptos by speculating on their price movements via CFDs (contracts for difference).

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

CFDs are leveraged derivatives – meaning that you can trade cryptocurrency price movements without taking ownership of any underlying coins. When trading derivatives, you can go long (‘buy’) if you think a cryptocurrency will rise in value, or go short (‘sell’) if you think it will fall.

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

By contrast, when you buy cryptocurrencies on an exchange, you buy the coins themselves. You’ll need to create an exchange account, put up the full value of the asset to open a position, and store the cryptocurrency tokens in your own wallet until you’re ready to sell.

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

How do cryptocurrency markets work?

The cryptocurrency market is a decentralised digital currency network, which means that it operates through a system of peer-to-peer transaction checks, rather than a central server. When cryptocurrencies are bought and sold, the transactions are added to the blockchain – a shared digital ledger that records data – through a process called ‘mining’.

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Learn why people trade cryptocurrencies

Cryptocurrencies are notoriously volatile. For traders using leveraged derivatives that allow for both long and short positions, large and sudden price movements present opportunities for profit. However, at the same time, these also increase your exposure to risk. In short, the more volatile the market, the more risk you carry when trading it.

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

With IG, you can trade cryptocurrencies via a CFD account - derivative products that enable you to speculate on whether your chosen cryptocurrency will rise or fall in value. Prices are quoted in traditional currencies such as the US dollar, and you never take ownership of the cryptocurrency itself. CFDs are a leveraged product, which means you can open a position for just a fraction of the full value of the trade. Although leveraged products can magnify your profits, they can also magnify losses if the market moves against you.

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

When trading cryptocurrencies with us, you can:

Access real-time pricing. We derive our prices from several exchanges, and they're calculated on a continuous basis

Get prices reflective of the underlying market. Because our prices are based on real markets, in real time, they always reflect actual market sentiment

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Trade with derivatives. With our CFD account, you'll never own actual cryptocurrencies. This means you get to trade without opening an exchange account or creating a wallet

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Hedge against adverse markets. As CFDs enable you to take short positions, you can hedge against losses on investments you already hold

Obtain low spreads. We work to keep our spreads amongst the lowest in the market

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Use continuous charting. Our award-winning platform1 offers cutting-edge HTML 5 charts and a selection of advanced indicators and drawing tools

Enter and exit positions quickly. Owing to tight spreads and our fast execution, CFDs enable you to enter and exit trades quickly

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Trade on leverage and margin. CFDs are leveraged, giving you full market exposure at a fraction of the initial outlay required when buying actual cryptos. However, trading CFDs comes with a high risk of losing money rapidly due to leverage.

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Trade on a secure platform. You can utilise measures such as the two-factor authentication (2FA) to ensure you're secure when trading online.

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Pick a cryptocurrency to trade

With us, you can use CFDs to trade 11 major cryptocurrencies, two crypto crosses and a crypto index - an index tracking the price of the top ten cryptocurrencies, weighted by market capitalisation.

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Our selection includes:

Bitcoin

Ether

Bitcoin Cash

Litecoin

EOS

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Stellar

Cardano

Bitcoin Cash/Bitcoin

Ether/Bitcoin

Crypto 10 index

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Cardano

Chainlink

Polkadot

Dogecoin

Uniswap

CLICK HERE FOR THE BEST CRYPTOCURRENCY VIDEO COURES

Open a CFD trading account

Opening a CFD trading account usually takes minutes. And there’s no obligation to fund your account until you’re ready to trade. We’ve provided traders with access to leading financial markets since 1974 and are a FTSE 250 company.2

vrvintagethought leaderstech newsstartupsocial mediaproduct reviewpop culturephotographymobilelistinterviewhow tohistoryhackersgadgetsfuturefact or fictioncybersecuritycryptocurrencybook reviewsapps
Like

About the Creator

Reader insights

Be the first to share your insights about this piece.

How does it work?

Add your insights

Comments

There are no comments for this story

Be the first to respond and start the conversation.

Sign in to comment

    Find us on social media

    Miscellaneous links

    • Explore
    • Contact
    • Privacy Policy
    • Terms of Use
    • Support

    © 2024 Creatd, Inc. All Rights Reserved.