To start cryptocurrency trading, you need to find a suitable spread betting broker. If you want to spread bet on a specific cryptocurrency, for example, bitcoin trading, check the broker offers it before opening an account.
Some common cryptocurrencies you can spread bet on include:
. Bitcoin
. Ethereum
. Ripple
You can use this comparison to check the hours that each cryptocurrency broker lets you trade, and the spread offered on their platform….
Before we continue, Let´s look at what the financial spread betting is ?
If you want to try and make money predicting financial markets, spread betting could be for you. Here is how financial spread betting works.
What is it?
Financial spread betting is a type of investment trading that does not require you to own the underlying asset you are trading with.
It is also a leveraged investment, which means you only need to put down a small percentage of the amount you want to trade with to open your position.
How does it work?
You bet on whether you think the price of a market will go up or go down.
. < If you think the price will go up, you buy
. < If you think the price will go down, you sell
.< If you are wrong, you lose, and if you win, you could make a profit.
To make a profit, the price movement needs to be bigger than the value of the spread.
How to find the best cryptocurrency trading platform.
Look for the platform that offers the smallest spread for the cryptocurrency you want to spread bet on.
The spread is the difference between the buy and sell price of the asset you want to trade.
For example, a Bitcoin spread represents how much the value of Bitcoin would need to change before you break even on your spread bet. Anything short of the spread will result in a loss.
The smaller the spread offered, the less the cryptocurrency value needs to change before you can begin to make a profit, but only if the cryptocurrency value goes up or down in favour of your spread bet.
Things to consider before spread betting
. When you spread bet on a cryptocurrency, you do not own any of the currency. Instead, you trade on its value going up or down.
. You start at a loss with all spread bets, equal to the size of the spread. If your trade does not go in your favour, you risk losing more money than you trade with.
PS: <<<<< For this reason, do not trade with money you cannot afford to lose. To improve your chance of making a profit, choose a broker that offers you the smallest spread.