You might have heard the buzzwords "Bitcoin futures" floating around the crypto-space over the past few month. But what does it actually mean? When they rumours and announcements of Bitcoin futures were first made around the mid of last year, the whole space was adamant that this would send Bitcoin "to the moon" - and it did. Right up until futures actually started! Since then, it's been nothing but a wild ride. In this video below, the user "Crypto Investor" goes over how and why Bitcoin futures affects the price so much. Although many traders and media outlets were calling for doom on Bitcoin with an impeding death cross, the cryprocurrency was trading above $7000 USD on 2nd April 2018. What is a Death Cross? According to Investopedia.com, a death cross is considered a bearish signal and occurs when the short-term, 50-day moving average (50 EMA) also called a price trend, crosses below the long-term, 200-day moving average (200 EMA). No substantial news can attributed to the price rise/stability, perhaps it is many retail investors getting in at what they consider to be a cheap price. This goes to show, that although a strong indicator can look like the price of a cryptocurrency will fall (or rise), it's still does not confirm it. What are the best cryptocurrency exchanges? If you own bitcoin and want to sell, whether for profit or to just get out of the game, you need to learn about the different places you can buy and sell. One option that a seems to be getting more and more popular is Bitcoin ATMs, the trouble seems to be finding one that is close to you. If you use sites such as FindBitcoinATM you can find Bitcoin ATMs near you. However, the most popular way is still using a bitcoin exchnage - some have millions of users! A bitcoin exchange is a place where you can buy or sell bitcoin, and the first thing you need to learn is that there are three types of exchanges that you can look into. The first of these three is the trading platform. This is a kind of social media site where buyers and sellers can find each other. The market rate prevails, and the platform charges a fee whenever you make a transaction with somebody. If this is not your cup of tea you could alternatively look into platforms that allow you to trade directly with your buyer or seller. One interesting aspect of these exchanges is that bitcoin does not have a fixed price here. Rather, sellers have the option of setting whatever price they like. This is useful in situations where prices are sky high. You can undercut the price by a small margin and people would buy it off you in droves. Hence, this is a great place for sellers as well as buyers, although the unregulated prices can make it more likely that you would end up losing money in the long run. If you want something that’s a little more official, a brokerage is where you need to go. These brokerages offer prices that are fixed by analysts that understand the market, so this is the perfect place to go if you are new to crypto and want to start investing. This is because of the fact that you can take the advice of the brokers on these sites and trade according to their suggestions. This usually results in less profit than other platforms but the profit is more consistent. How to Find a Good Exchange You can equip yourself with the knowledge necessary to find yourself a good bitcoin exchange by understanding what makes an exchange good. Here is a list of things to look for in bitcoin exchanges: Cost: A lot of exchanges charge exorbitant amounts of money to allow you to make transactions on their site. You should avoid these exchanges. Free transaction exchanges are usually not very secure, so you should avoid these as well. Try to find a middle ground that is affordable but still as safe as possible. Wide Payment Support: A lot of exchanges only allow you to pay for coins through bank transfers, others restrict you to card payments. Try to find an exchange that offers a wide range of payment options so that you can pay with whatever method would be most convenient for you. User Opinions: The reputation of an exchange depends a lot on the sort of security it provides, so if the exchange you are looking into has made a good name for itself you can rest assured that it is going to serve you very well indeed. Top 5 Exchanges Coinsquare: This is perhaps the most traditional exchange that the crypto market has to offer because of the fact that it was made to be based on the New York Stock Exchange. This means that the interface is familiar, with a stellar reputation to boot. This exchange has some pretty affordable transaction fees, and when you couple this with the easy to use interface you have an exchange that is perfect for people that are new to the world of crypto and want something easy and cheap so that they can get started investing in bitcoin and the like. Coinbase: There are so many crypto exchanges out there that it can often be difficult for newer startups to set themselves apart. Coinbase has managed to do that by providing a unique service: insurance. If you store your currency in a wallet provided by Coinbase, you can rest assured that if anything happens such as a hacker attack or some other criminal activity that results in the loss of your hard earned money, the company is going to reimburse you completely no questions asked. This helps to make it seem a lot more legitimate in a marketplace that is notorious for being tough to trust at times. Kraken: If you aren’t based in the United States or you just don’t want to make your transactions using dollars it can be tough to break into the crypto market because of the fact that so many exchanges don’t offer their services in other countries. Kraken is meant for European investors or people that possess Euros that they want to invest. This exchange has also set itself apart for having one of the most detailed user interfaces out there which make it perfect for experienced users although it might alienate some of the newbies that are still learning the ropes.
Cex.io: This exchange is perfect not just for Bitcoin but for various other crypto currencies as well. If you truly want to earn big bucks while investing in crypto, putting all your eggs in one basket is the last thing you should do. Cex.io allows you to diversify your portfolio and get a little bit of everything, enabling you to make the most of your initial investment and profit in the biggest way possible. This site also has a great mobile app that you can use if you want to trade on the go, something that people are doing more and more often these days. Poloniex: This exchange is probably the best of the best when it comes to cryptocurrencies. This is because of the fact that it supports hundreds of different bitcoins, and making an account is very easy because the verification process is simple and minimal whilst still providing a modicum of security that you are certainly going to appreciate in the long run. The great thing about Poloniex is that you can easily access your money no matter where you are, something that can really help you make the most of your initial investment. |
AuthorI'm Nathan Dawes. Crypto noob, sharing my thoughts. ArchivesCategories |