Bitcoin Trading Strategies To Become a Professional

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Bitcoin Trading is not for the faint of heart. Bitcoin values ​​may double or decline by 50% within hours or days. However, there are successful Bitcoin traders who make an excellent living.

If you want to jump into the ring and try some bitcoin trading, it's important that you learn all you can about bitcoin and adopt a bitcoin trading strategy before making your first trade.

Consider these strategies:

Follow The News

In the short term, stock and Bitcoin prices are very sensitive to related news.

Negative news about Bitcoins, such as government regulation or hacking of a Bitcoin exchange, tends to drive the price down.

Positive news, such as a large company announcing the acceptance of Bitcoins as a form of payment or a story about a Bitcoin millionaire, can drive the price of Bitcoins up.

Study the Metrics

Many traders believe that the long-term value of Bitcoins can be predicted from the recent price, the number of wallets versus the number of active wallets, trading volume, etc.
With this information, traders try to assign a current value to a Bitcoin and make trading decisions based on the current market price.

Use Technical Analysis

Take out the historical price charts and look for patterns.
Experts claim to have their own formulas for using price and volume data to predict short-term price changes.

Human psychology is likely to be the most important component of short-term price swings in the Bitcoin market.

Trade on Margin

If you feel especially confident, there are opportunities to take your trading skills to the next level and trade on margin.
Bitfinex and Huobi are two of the most popular margin trading platforms for Bitcoins.

There are many Bitcoin trading strategies. Like stock strategies, Bitcoin strategies are never a sure thing. It takes a little luck and a lot of skill to achieve consistent success. Find out how the experts are making money and try to duplicate their success. Start small and avoid losing large amounts of money before you have the experience necessary to be successful.


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