In this post I'm going to take you through the steps you need to start trading Bitcoin.
As you might already know, I've nailed my last 5 Bitcoin trades. I've been live tweeting my trades, and posting my predictions in real-time on TradingView.com.
Bitcoin is a really exciting market to be trading right now, but it's important to really plan your trades, otherwise you could lose a ton of money if you don't make smart trading decisions.
This video is Part 5 of my Bitcoin Basics video series. It's all about how to start trading Bitcoin:
3 Simple Steps To Start Trading Bitcoin
If you're brand new to Bitcoin or trading financial markets, then these 3 steps will help you get started quickly. As a professional trader and trading educator, my goal is to help people get from A-Z in the best way possible. Follow these steps and you'll be on your way to profiting from trading Bitcoin…
STEP 1 – Before you can start trading Bitcoin, you need to acquire your first coins.
If you're in the U.S. the best way to do this is to open an account with CoinBase. They link directly to your checking account, so it seems to be the quickest and most secure way to purchase Bitcoin. Make sure to watch video #4 in this video series for a Coinbase tutorial.
STEP 2 – Open accounts with all the major exchanges after you bought some initial Bitcoin at Coinbase.
There is typically a verification process that takes some time, but it's well worth the effort. I think it's a good idea to have some Bitcoin at different exchanges to mitigate risk, and have multiple options to execute trades. Here's a video talking about the different exchanges:
Bitfinex – The best exchange I've found for shorting Bitcoin. You can also lend your Bitcoins for other people to trade and short.
To get a bird's eye view of the market share and volume of the different exchanges, check out BitcoinAverage.com.
STEP 3 – Decide on your Bitcoin trading strategy.
Are you going to be a day trader, swing trader, or hold for the long-haul? Personally, I look for trades that show the potential to make at least 10% – 20%. If you're trading for anything less than that, then the spread and fees will eat away at your profits. Make sure to Grab A Free Copy Of My Bitcoin Trading Book, where I'll show you all my trade setups and how to pinpoint the best trade opportunities.
For charting, I like to use Bitcoinwisdom.com and TradingView.com. I actually post all my predictions and trades on my profile on TradingView.com.
Also, make sure you stay away from Bitcoin trading scams like trading robots. Anything that offers to make you a ton of money on autopilot is a scam, period!