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Trading Bitcoin South Africa

Bitcoin may be a virtual currency that has been talked a few lot lately. The volatility of this currency is extremely high and thus it are often very interesting to trade but also very dangerous. because of CFDs, you’ll trade bitcoin on some platforms like Avatrade .Trading Bitcoin.

Of course, a bit like other financial products, you’ll trade Bitcoin’s rise also as fall . like trading on indices and other commodities, we’ve prepared an example for you

Trading Bitcoin on South Africa platforms

Forex Brokers Minimum Deposit Support Rating Visit Site
1
Easy Markets south Africa
R 1800
98.05%
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Highly Recommended CFD Site South Africa!
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XM Forex South Africa
R 1500
98.21%
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Best South African CFD Brokers
3
hycm markets South Africa
R 1600
98.05%
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One of the Best CFD Trading in South Africa
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Avatrade South Africa
R 1200
98.11%
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Most Popular South Africa CFD Trading Site

Some information on Bitcoin

Bitcoin was the primary currency to be controlled by a crypto protocol at the expense of traditional central banks. the primary idea with the launch of Bitcoin was to supply a medium of exchange, independent of any central authority , which might be transferred electronically during a secure, verifiable and immutable manner. Since then, many cryptocurrencies are created, however Bitcoin far surpasses its competitors.

Known under the pseudonym Satoshi Nakamoto , the founder or founding group of the primary cryptocurrency launched Bitcoin in 2009 . it’s a system that permits payments to be sent between users without browsing a central authority, like a bank or a payment gateway. it’s created and stored electronically and by intense mathematical computation performed by computers. Bitcoin (BTC) may be a virtual coin or cryptocurrency. it’s a real analogue of gold in an electronic version. It doesn’t print, like dollars or euros. Its production is completed by computers everywhere the planet , using open-source software – anyone can understand how it works if it serves its purpose. Also, everyone has the chance to participate during this calculation process in theory . In transactions, individual amounts are sent from one address to a different , with a secret key allowing access to a selected address.

The first purchase was made in 2010 with two simple pizzas. Since then, things have changed significantly, Bitcoin has become the maximum amount a store useful like gold as an investment or a far off exchange currency.

Trade Bitcoin with CFDs

Thanks to CFDs you’ll be ready to take advantage of variations within the price of Bitcoin. like other financial products, you’ll take an upward or downward position. it’s advisable to be very careful with bitcoin because it’s a currency with very high volatility.

To learn more about CFDs, inspect our guide !

Example of Bitcoin Trading

You want to require an edge on Bitcoin thinking that the worth of the currency will go up.

You buy 1 Bitcoin CFD contract = $ 1 (each point is like $ 1) over the course of $ 500 .

After a touch while the Bitcoin finishes up at $ 520 , you sell your Bitcoin CFD contract. You earn $ 20 (20 points x $ 1) .

If your scenario isn’t the proper one and therefore the price of bitcoin drops and finishes up at $ 480, if you sell your contract you’ll lose $ 20 (20 points x $ 1).

Remember that you simply can keep your CFDs as long as you would like , there’s no expiration date. You sell once you want!

In this example a Bitcoin contract is worth $ 1 but it’ll depend upon the broker on which you opt to trade.