Bitcoin is a digital currency that is created and stored electronically. Bitcoin has seen a tremendous spike in popularity recently, and that has caused many new people to try to get in on the ground floor.

While investing in bitcoin has become increasingly popular, it can be difficult for those without much knowledge of computers or the stock market.

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Investing in bitcoin is a great way to make a lot of money, but it is important to understand that the value of bitcoin can skyrocket with the right push or be pushed in the opposite direction by the wrong news. Just read on to discover the right steps to start Bitcoin investing.

Steps to get started

Step 1: Opening an account on an exchange

To get started with investing in bitcoin, you need to open a bitcoin account on an exchange. There are many different exchanges and the first thing you should do is find one that fits your needs.

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Coinbase has been around for a while but it is not very beginner-friendly. That is why we recommend Binance as the best place to start. When you go to Binance, there are options for buying BTC directly through a credit card or using fiat currency (e.g., USD, EUR) to buy BTC. However, the best option is to buy Bitcoin using USDT and then transfer them to your trading account. Once you have funds in your Binance account, you can start investing.

Step 2: Buying bitcoin

Once you have an account on an exchange, you will want to be able to buy bitcoin from Binance. The first step is to transfer USDT (Tether Tokens) from your Binance USDT wallet to buy bitcoin. If you have ever sold for fiat, then it is exactly the same, except that you are selling for BTC instead of selling for USD. To buy bitcoin, simply go to the trading page on Binance and place the order to buy.

Step 3: Pick an investment strategy

There are two popular strategies for investing in bitcoin: short-term and long-term. While bitcoin is volatile, it is also a great long-term investment. The best way to understand these two strategies is on an investment calculator. You can find one here that covers all of the different time frames (1 day, 1 month, and 1 year.) You can find a great calculator here that shows both the benefits and drawbacks of each strategy for Bitcoin.

Step 4: Storing your BTC

When you are ready to start making serious Bitcoin investments, you need to store them in a wallet. A wallet can be hard to understand but it is actually quite simple. It is essentially a public address and a private key that can be used to access the bitcoin in your “wallet.”

If you have never worked with cryptocurrencies, then you need to find out where your coins are going and if they are safe. The best way to hold your coins for a long time is to use a hardware wallet. For example, if you are storing $100 worth of bitcoin, you can buy a Trezor or Ledger Nano S. These wallets are small and they look like flash drives. Once the device is set up and initialized, you can start holding your coins in them. If you want to learn more about hardware wallets, read this on the official Trezor website.

Step 5: Finishing and setting up

Once you have your bitcoin in your wallet, you are ready to start investing. You should always wait for the prices to settle before buying a lot of cryptocurrencies. You will want to always buy small amounts so that the price doesn’t change too much, but you can add as many coins as you like to the account. Once your buy bitcoin, transfer it to your hardware wallet or Binance account and pay with fiat currency if you want.

Conclusion

Bitcoin is a great investment and it can be a very lucrative way to make money. Bitcoin investing can provide you with an easy way to make money but it is also hard to predict what the price will be in the future. This means you need to know about investments before you invest and never invest more than you are willing to lose. Remember that at its core, investing in bitcoin is no different than traditional stock investment.