5 Ways To Play Bitcoin For Beginners

28

Bitcoin investment can be done by anyone, including beginners. Including a lucrative investment, here’s a guide on how to play bitcoin for beginners. Come on, see the steps in this article!

Are you interested in investing in cryptocurrencies like bitcoin?

Now, bitcoin investment is attractive because it offers benefits that are not kidding.

Bitcoin is also an increasingly popular investment alternative. However, not a few still don’t know how to play bitcoin, especially for a beginner.

After all, currently, the price of bitcoin continues to creep up.

For that, let’s first identify what bitcoin is before starting bitcoin investment.

What are Bitcoins?

As reported by bitcoin.org, bitcoin is a consensus network that enables new payment systems and money that is completely digital.

Bitcoin is the first decentralized peer-to-peer payment network that is fully controlled by its users without any central authority or intermediary.

From the user’s point of view, bitcoin is like cash in the internet world.

Bitcoin can also be viewed as the most prominent triple bookkeeping system in existence today.

There are ways to get bitcoin, namely:

Read More:   10+ Ways to Learn Stock Investing for Beginners to Profit
  • Buy bitcoin using money
  • Sell items and accept payments with bitcoin
  • Mining bitcoin using a sophisticated computer

How Bitcoin Works

As reported by bitcoin.org, from a user’s point of view Bitcoin is nothing more than a mobile application or computer program that provides a bitcoin wallet and allows users to send and receive bitcoins.

This is how bitcoin works for most users.

Behind the scenes, the bitcoin network shares a public record called the blockchain.

This record contains all transactions that have ever been processed, allowing the user’s computer to verify the validity of each transaction.

The authenticity of each transaction is protected by a digital signature associated with the return address.

This allows all users to have complete control over sending bitcoins from their bitcoin address.

How to Play Bitcoin for Beginners

So, how to play bitcoin?

Register to Exchange

Quoted by Investasi, the first step is to register on an exchange platform (exchange).

As of December 2020, there are at least 13 crypto asset companies that have obtained permission from BAPPEBTI.

Some of them are Indodax, TokoCrypto, Pintu, My Account, Luno, and others.

After choosing one, you are asked to do the Know Your Customer process.

Read More:   Recommended Forex Robots To Maximize Your Trading

In this process, you will need to download your ID card, photo, and other necessary documents.

Wait until the account verification is processed for 1×24 hours.

In choosing an exchange, you also need to check the fees required for both the initial deposit to withdrawal to fiat currency (rupiah).

Buying Bitcoin

After that, you can get bitcoins by buying bitcoins. How to buy bitcoin can be done through an exchange. How to make a profit using bitcoin?

You can buy bitcoin at a low price and then sell bitcoin when the price is rising rapidly.

Meanwhile, to sell bitcoin, of course, you must have a bitcoin balance in one of the accounts.

Bitcoin Trading

The next way to play bitcoin is bitcoin trading.

Quoted by Pintu, bitcoin trading is a cryptocurrency trading activity in the cryptocurrency market.

The term bitcoin trading refers to the buying and selling of bitcoins in the crypto and futures markets.

Well, these crypto trading traders and investors are called cryptocurrency traders.

To analyze the bitcoin price, several trading strategies are needed.

Quoted by Investing, here are the ways of trading that can be done:

  • Hodl: You can keep bitcoins after buying them as a means of long-term investment.
  • Day Trading: When buying and selling bitcoins within the same day. You have to keep an eye on price movements so you can know when is the right time to buy and sell bitcoins.
  • Pump and Dump: You can buy a huge amount of bitcoin to influence the bitcoin price and sell it when the price has gone up.
Read More:   Basics of Price Action Trading Strategy

Selling Bitcoin

One easy way to sell bitcoin is to use a bitcoin exchange.

Bitcoin exchanges generally provide a temporary wallet to hold the balance of fiat currency or cryptocurrency that users will trade.

That way, the transactions you make will be guaranteed safe.

It’s just that, it’s a good idea to choose the right exchange so that bitcoin selling activities can run smoothly and profitably.

Free Bitcoin

How to play bitcoin for beginners can also be done by getting free bitcoins.

One way is to mine bitcoins. However, mining activities cannot be done easily.

There are at least four ways to mine bitcoin, namely:

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More