How bitcoin trading works
Bitcoin is usually paired against the US dollar as Bitcoin/USD. This rate indicates the value of bitcoin when measured against the US dollar. Bitcoin is a highly volatile instrument and is our most popularly-traded cryptocurrency.
When you trade bitcoin with us, you open a position to speculate on whether bitcoin’s price will rise or fall relative to the US dollar. If you think bitcoin’s value will rise, you would open a ‘buy’ trade to take a long position in the market. If you think the opposite, you could ‘sell’ bitcoin which is to take a short position in the market.
If your assumption is correct, then your position will gain in value. If it’s wrong, your position will lose value. We recommend taking extra care when trading bitcoin on a leveraged trading platform, as bitcoin and other cryptocurrencies can be particularly volatile. Trading on leverage means your profits and losses are amplified, as your position is based on the full value of the trade. Open either a spread betting or CFD trading account to trade on bitcoin with us – learn more below.