Simple steps to start trading Bitcoin from an expert

Key Takeaways:

1. Bitcoin’s recent surge presents an entry opportunity for investors, with a low starting investment of $15.
2. Choose reputable cryptocurrency exchanges for security and legitimacy, and use tools like CoinMarketCap or CoinGecko for research.
3. Enable two-factor authentication (2FA) for account security, especially in the cryptocurrency and smart contract space.
4. Consider preferred payment methods, whether conventional or peer-to-peer, and weigh factors like convenience, security, and private key management.
5. Protect Bitcoin holdings with cold or paper wallets to mitigate risks associated with cryptocurrency exchanges, and appreciate Bitcoin’s benefits, including fraud resistance, identity theft mitigation, swift settlements, and borderless transactions, making it an appealing choice for financial innovation and empowerment.

 

As Bitcoin (BTC) continues to gather momentum in the world of digital currencies, the fear of missing out on investing in the largest cryptocurrency with a capped supply of 21 million coins is growing.

On November 18, Bitcoin (BTC) surged past the $18,000 mark for the first time since December 2017, coming within 10% of its all-time high price of $20,000.

Some analysts predict that the $20,000 threshold is just the beginning of Bitcoin’s journey, potentially leading to it becoming a trillion-dollar asset. It’s not too late to consider entering the Bitcoin market.

Investing in Bitcoin doesn’t require substantial funds; you can start with as little as $15, which would provide you with approximately 0.0008 BTC at the current price.

Initiating your investment in Bitcoin is more accessible than you might think, even in the face of digital currencies and their evolving market capitalization.

Here are some straightforward tips for easily purchasing Bitcoin, securing your private keys, and understanding the significance of distributed ledgers in a landscape that involves financial institutions.

Choose a reputable cryptocurrencies exchange

The first step to buying Bitcoin is choosing the right crypto exchange.

You may have heard of the world’s largest crypto exchanges like Binance and Coinbase, but there are around 400 crypto exchanges around the world.

When considering investing in cryptocurrency like Bitcoin and other cryptocurrencies, it’s crucial to select a reputable digital asset crypto exchange that caters to clients in your country.

Ensuring the exchange’s legitimacy is essential, especially when dealing with digital assets in the evolving landscape of peer-to-peer networks and the presence of central banks.

What tools to use to evaluate the trading volumes?

To make an informed choice, use tools like CoinMarketCap or CoinGecko to evaluate the trading volumes on a particular exchange. Additionally, conducting thorough research, including checking updates on the exchange’s official website, can provide valuable insights into their operations.

Take the time to acquaint yourself with the exchange’s transaction fees, available deposit methods, and the security protocols they employ to safeguard your assets during transactions, thereby ensuring a smooth and secure experience in the world of digital currencies.

Register on a platform and complete security checks

If you were wondering how to register on a Crypto Exchange, here are the inevitable steps to do so:

Selecting a Reputable Platform

When venturing into the world of Bitcoin and cryptocurrencies, your first step is to choose a reputable crypto exchange.

Completing Security Checks

Once you’ve made your selection, the next critical step is to create an account and complete the necessary security verification processes.

Free and Easy Registration

Opening an account with most crypto exchanges, including popular platforms like Binance, is a straightforward and cost-free process. All that’s typically required is providing your email and phone number to initiate the account creation process.

The Power of Blockchain Technology

Blockchain technology underpins the functionality and security of cryptocurrency transactions. Bitcoin’s blockchain, in particular, is one of the most well-known examples of this powerful technology.

Facilitating Secure Transactions

This technology ensures the secure and transparent exchange of cryptocurrencies, enabling users to send and receive digital assets with confidence.

Don’t forget to enable 2FA (two-factor authentication)

Ensuring the security of your crypto exchange account is paramount in the dynamic cryptocurrency market, especially when dealing with a popular cryptocurrency like Bitcoin.

To bolster your account’s defenses, begin by crafting a robust and unique password that combines letters, numbers, and symbols. This initial step harnesses the computer power of cryptography to create a formidable barrier against unauthorized access.

Moreover, it’s imperative not to overlook the significance of enabling two-factor authentication (2FA) for your account.

2FA is a critical element in safeguarding your digital assets and transactions within the Bitcoin network. By adding this extra layer of security, you fortify your account’s defenses against potential security breaches and attacks.

What is the beauty of 2FA?

The beauty of 2FA lies in its provision of two-step verification, typically implemented through a mobile phone.

This means that even if someone gains access to your password, they would still need the second authentication factor, usually sent to your phone, to access your account.

Thanks to this two-step process significantly enhances the security of your cryptocurrency holdings, especially when dealing with smart contracts and other complex transactions in the cryptocurrency market.

Consider your preferred payment option

When considering how to acquire and securely hold Bitcoin, one of the critical factors to contemplate is your preferred payment option.

The process of obtaining Bitcoin can be tailored to suit various fiat currencies, such as the US dollar or the euro, providing flexibility and catering to the diverse preferences of individuals engaged in digital currencies and cryptocurrencies.

Conventional Payment Methods for Bitcoin

Some cryptocurrency exchanges offer straightforward methods for acquiring Bitcoin, including the convenience of purchasing it directly with a debit or credit card, or by linking your bank account.

These user-friendly options simplify the acquisition and holding process, ensuring that even newcomers to the world of cryptocurrencies can participate with ease.

To utilize these methods, typically, you’ll need to link your account or card to your platform account, facilitating seamless transactions.

Exploring Peer-to-Peer Alternatives

In addition to conventional payment methods, several global cryptocurrency exchanges have introduced innovative peer-to-peer services.

These services empower users to purchase Bitcoin directly from fellow users. Within this decentralized approach, customers can search for offers posted by other users, fostering a community-driven approach to acquiring and holding Bitcoin.

Third-Party Payment Solutions

Furthermore, certain cryptocurrency exchanges collaborate with third-party payment solutions, expanding the array of options available to users.

These partnerships provide additional flexibility and convenience, enabling users to access Bitcoin through reliable third-party services.

Major payment companies, including industry giants like PayPal, have also embraced this trend, allowing individuals to conveniently purchase cryptocurrency through their platforms.

As you navigate the multifaceted landscape of digital currencies and cryptocurrencies, your choice of payment method plays a pivotal role in your ability to acquire and securely hold Bitcoin.

Weigh these options carefully

It’s essential to weigh these options carefully, considering factors such as convenience, security, and the management of your private keys.

All of these considerations occur within the broader context of cryptocurrency market capitalization and the underlying technology of distributed ledgers.

Start buying Bitcoin

Now you are ready to buy bitcoin, but first, you need to decide how much you want to invest. Remember that it is a high-risk investment, and it is best to start with meaningful research and calculation of how much you are willing to risk.

Top investors and entrepreneurs like Mark Cuban have previously recommended investing up to 10% of savings in Bitcoin.

Don’t store a lot of cryptocurrencies directly on an exchange

Acquiring Bitcoin is an exciting step, but safeguarding your digital assets is crucial. Leaving your crypto on an exchange has risks, such as hacking or security breaches that can disrupt access.

Navigating Exchange Vulnerabilities

Cryptocurrency exchanges, crucial for trading, aren’t immune to hacking threats. There’s a risk of suspended withdrawals.

Robust Storage: Cold Wallets and Paper Wallets

To enhance security and control, explore cold wallets and paper wallets.

Cold Wallets: Elevating Security

Cold wallets, or hardware wallets, offer offline protection, reducing unauthorized access risk.

Paper Wallets: Offline Simplicity

Paper wallets provide security through offline simplicity.

In summary, protect your Bitcoin beyond acquisition. Consider cold wallets or paper wallets for added security against cryptocurrency exchange risks.

What are the benefits of trading Bitcoin?

Bitcoin, the pioneering cryptocurrency, offers a myriad of benefits, making it an increasingly attractive financial asset. Here are four key advantages of embracing Bitcoin:

1. Resilience Against Payment Fraud

Bitcoin operates as a digital currency, rendering it immune to traditional payment fraud schemes.

Its decentralized nature and cryptographic security measures create a robust shield against fraudulent activities, providing users with greater peace of mind when conducting transactions.

2. Mitigation of Identity Theft Risks

Bitcoin transactions prioritize user privacy and anonymity. Unlike traditional banking systems, which often require the divulgence of personal information, Bitcoin transactions are pseudonymous.

This means that while the transactions are recorded on the blockchain, they do not inherently reveal the identities of the parties involved, reducing the risk of identity theft.

3. Swift and Immediate Settlements

Bitcoin transactions occur on a blockchain network that operates 24/7, enabling swift and immediate settlement of transactions.

This characteristic eliminates the need for intermediaries, such as banks, and accelerates the transfer of funds, making cross-border transactions and international remittances more efficient.

4. Direct and Borderless Transactions

Bitcoin facilitates direct peer-to-peer transactions without the need for intermediaries or financial institutions. This not only streamlines the transaction process but also eliminates geographical barriers.

Users can send and receive Bitcoin across borders, enabling frictionless international transactions and financial inclusion for individuals in underserved regions.

In addition to these core advantages, Bitcoin also offers increased liquidity, independence from traditional financial systems, and robust security through its cryptographic foundations.

These factors collectively contribute to Bitcoin’s growing prominence in the global financial landscape, making it a compelling choice for investors and users seeking innovation and financial empowerment.

Bottom line

As Bitcoin gains momentum, now is an opportune time to consider investing in the cryptocurrency.

With a starting point as low as $15, select a reputable exchange, complete security checks, enable two-factor authentication (2FA), and choose a preferred payment method.

Allocate a calculated investment amount, keeping in mind the high-risk nature of cryptocurrencies. Lastly, prioritize security with cold or paper wallets to safeguard your holdings in the dynamic cryptocurrency market.