HOW TO MAKE MONEY WITH BITCOIN
Making money with Bitcoin
Is making money with Bitcoin possible? Obviously yes, there are many investors who have managed to achieve extraordinary results thanks to Bitcoin. But be careful: there are also several risks to consider if you decide to start making money with Bitcoin. In this article we will focus on how to make money with the Bitcoin cryptocurrency, controlling the risks and achieving the best possible results. We will illustrate the operation of platforms such as AvaTrade and IC Markets, solutions that allow you to invest easily and in total safety and therefore earn concretely with the BTC cryptocurrency.
Bitcoin is in fashion, this is true, but it must be said that it is an extremely powerful and flexible financial tool. In theory, using bitcoins is not for everyone and making money using bitcoins may seem difficult.
The practice is very different: bitcoins are available for everyone and, above all, making money with bitcoins is much easier than it might seem, especially for those who use serious, reliable and simple to use platforms such as AvaTrade (one of the best platforms in absolute for beginners who want to invest with Bitcoin).
What is Bitcoin
Bitcoin is the most famous cryptocurrency ever: it is now also known by the general public even if few are able to use it correctly. Bitcoin was the first cryptocurrency to be created and it triggered a real revolution: in a few years a market was created from scratch with a total capitalization of many hundreds of billions of dollars; many investors have been able to accumulate very high profits and many have even become millionaires thanks to Bitcoin.
To use bitcoin, in fact, you need to have a high level of computer knowledge. Does this mean that the earning opportunities offered by bitcoin are reserved only for a very limited audience?
Whoever bought bitcoin a few years ago, even for a few euros, has now become a millionaire. But buying bitcoin is not easy, you have to go into the folds of the deep web, where the line between legal and illegal is extremely thin. And then it takes a great computer experience. That's why it is usually thought that earning with bitcoins is only possible for people who are truly computer savvy ...
In fact, this is not the case. This was the situation until a few years ago, but today everyone can make money with Bitcoin. In short, today it is possible to earn with bitcoin even without being a little computer genius and above all without entering the ambiguous and dangerous world of the deep web.
Making money with Bitcoin starting from scratch, without any kind of knowledge and without risk is possible, read on to find out how.
How do you make money with Bitcoin?
First we must forget the concept of easy money: Bitcoin is absolutely not a way to make easy money, it is possible to achieve extraordinary results but they are always the result of commitment, work, determination.
If someone is offering you the chance to make money easily, they are most likely scamming you. It doesn't matter if they are offering you a miraculous automated trading system like Bitcoin Code or some Ponzi scheme to make money by mining Bitcoin - shortcuts never work.
The easiest way to make money is to invest in Bitcoin. It is appropriate to understand what investing means. Investing is usually thought to mean buying Bitcoin and waiting for the price to rise and then reselling it.
This is certainly a way to invest in Bitcoin but it is not the best, on the contrary: those who invest in this way are defined as holders and usually their investment is at a loss (unless they bought when the Bitcoin was really worth a few cents). Holders are often mocked because they are ideologically attached to their investment, they are not interested in earning money in the short term but rather trying to change the world.
From our point of view (that of those who want to earn the most from their investment), the best way to make a profit from Bitcoin is another.
The price of Bitcoin increases and decreases continuously: phases of great growth, such as the one that culminated at the end of 2017, are followed by phases of descent in the price. It is physiological for Bitcoin to behave in this way.
Those who want to invest in Bitcoin must aim to make profits at any time, both when the price rises and when it falls. And precisely for this reason, the best platforms for investing in Bitcoin offer two types of operations:
- The purchase of Bitcoin
- The short selling of Bitcoin
Basically, you buy Bitcoin when the price is about to rise, you sell short when it is about to fall. Short selling is a speculative operation that generates profit when the price falls. Not all investment platforms offer this type of operation and many beginners do not even know this possibility.
Without short selling, making money with Bitcoin is very difficult because there are times when the price drops a lot. Investors who, on the other hand, have the ability to sell short always earn, even when the price falls.
All that is needed is to make a correct Bitcoin price prediction.
Is it difficult to invest in Bitcoin and make correct predictions? Much less than you might think: everyone can start investing in Bitcoin successfully, even if they start from a low level. Among other things, some of the best platforms offer services that are very suitable for beginners.
They are authorized and regulated platforms, therefore they offer a high level of security and reliability. A regulated platform is required to comply with the very strict European standards that protect investors (the same rules for normal financial investments in shares or currencies). In practice, anyone using a regulated platform can be sure that they will not be scammed.
We have exclusively selected platforms that allow you to invest upwards and downwards, in order to provide the best tools to those who want to make profits in any market conditions.
The platforms we have chosen are free and do not charge commissions. Finally, some of these platforms offer services that can make a difference for those starting to invest in Bitcoin and have no idea how to get started.
Is it worth earning bitcoins or making money with bitcoins?
At this point it is clear that it is more convenient to earn money thanks to bitcoins than to make money from bitcoins. The advantages are many, let's try to summarize them briefly.
First, making money trading bitcoins is absolutely legal. Platforms such as AvaTrade are legally registered. To earn bitcoins, instead, you need to access the deep web with all the risks (legal and not only ...) connected with it.
Secondly, thanks to bitcoin trading it is possible to obtain really substantial profits because leverage can be used. Earning bitcoin by mining is instead very difficult (almost impossible nowadays) and therefore we can conclude that bitcoin mining generates very low profits.
Finally, bitcoin trading is suitable for everyone, even those who have no financial experience and are not computer savvy. This is because the trading platforms are super easy to use and offer a very high level of support.
Earn money with Bitcoin automated trading
Up to this point we have talked about a platform like Avatrade that works really well and offers very useful services to those who want to trade Bitcoin. The problem is, if you can call it that, with AvaTrade you need to make a minimum of forecasts on the price trend of Bitcoin.
Let's be clear: it's not that difficult and there are many online services, even free ones, that offer extremely reliable Bitcoin price predictions. But let's admit that for a beginner it could be difficult to operate in the first person.
What is the solution to this problem? There are exceptional systems for automated Bitcoin trading. The best Bitcoin auto trading platform is AvaTrade.
It is a platform loved by beginners because it is easy to obtain excellent results immediately.
Earning with Bitcoin, risk analysis
When deciding to invest in Bitcoin, it must be borne in mind that there are still risks. All financial investments, first of all, have a certain level of risk, however, platforms like those mentioned above allow you to start investing with just 100 euros of capital, so the risk is still limited. These risks can be easily controlled by applying the principle of money management.
What's it about? In practice, it is always advisable to divide the total capital available (for example the 100 euros) into small parts. It is worthwhile to use only a small part of the capital on each operation. In this way, even if the operation goes wrong, the losses are extremely limited compared to the total capital.
Earning Bitcoins: Easy Money? Beware of scams and frauds
As you can see with Bitcoin you can earn (even a lot) but it is not easy money. Profits are the result of work, study, commitment. Without an authorized and regulated platform, no positive result can be achieved!
We can therefore say that Bitcoin is not a method to earn easy money, quite the contrary. Unfortunately there are many scammers who promise very easy earnings without any kind of commitment. These scammers are smart and take advantage of the very fact that Bitcoin has become famous to attract their victims.
There is an easy way to avoid falling into their traps: Anyone who promises easy money is a scammer, always!
Among the most common scams, we remember:
Fake systems to make money automatically with Bitcoin: typically they promise stellar earnings, for example 1,500 euros per day, without doing anything thanks to a miraculous software system. All money invested is lost immediately. One of the most famous is Bitcoin Code.
Ponzi schemes disguised as Bitcoin mining systems: These scammers promise huge profits to all who entrust their money, with the promise that they will use the money received to finance Bitcoin mining. In fact, this money is used to pay the (high) interest to the first who entered the scheme. When they reach a good number of victims that have entered the system, they disappear with all the money. They usually offer the opportunity to earn something by also getting other people to join the scheme. ATTENTION: advertising a Ponzi scheme is a criminal offense in many contries. Those who, out of desperation, try to earn at least a few coins like this, perhaps to recover the losses they are suffering, risk really big!
How much can you earn with Bitcoin?
A beginner who starts earning with Bitcoin cannot expect to become a millionaire overnight. Anyone who makes such promises is usually just a scammer. At the beginning, small sums are earned and investment must be considered as a form of learning. Over time, however, it is possible to increase earnings.
For experts, there are no upper limits on earnings. For example, the Winklevoss twins have made billions with Bitcoin. It was they who came up with the idea of Facebook and called Mark Zuckerberg to develop it. Zuckerberg, however, preferred to steal the idea and work on his own. A US court sentenced Zuckerberg to pay 65 million euros in compensation for the theft of intellectual property. The Winklevoss twins invested this money to buy Bitcoin when the price was very low, thus making very high profits and becoming reference points for the cryptocurrency community.
Earn Bitcoins with Mining
There is not only the possibility of earning with Bitcoin through investments. Everyone knows that it is possible to earn Bitcoins by mining. What is Bitcoin mining? It is a procedure that allows you to obtain Bitcoin as a reward for services rendered for the operation of the blockchain.
Initially it was very easy to make money with mining but the difficulty increases exponentially (not a way of saying, it's just a mathematical exponential growth). This means that a very high investment in specialized hardware is currently required to mine Bitcoin. In addition, a large amount of electric current is required.
To earn with Bitcoin mining, therefore, a very high initial capital is required (tens of thousands of euros at least) while those who decide to invest can start with just 100 euros.
Furthermore, electricity has to be extremely cheap to mine Bitcoin. In UK or central European countries, for example, it is not possible to mine Bitcoin because the cost of electricity would be higher than the profit that could be obtained. Most Bitcoin miners have located their business in China where electricity rates are extremely affordable. In times when the price of Bitcoin drops a lot, it is possible that the cost of mining is higher than the value of Bitcoin (but usually these situations do not last long).
Earning with Bitcoins: conclusions
Bitcoin is one of the biggest revolutions in the world of finance and has allowed many investors to make high profits in recent years. Earning with Bitcoins is also possible for those who do not have much experience but it is always necessary to remember that it takes commitment (and a little study for those starting from scratch). The only way to earn without cheating is to use authorized and regulated investment platforms, the only ones that are safe.
The promise of easy money is always a scam clue: making money with Bitcoin is not easy!
F.A.Q. Frequently Asked Questions
How do you make money with Bitcoins?
There are two main ways: mining or investment. Due to the costs and the increasing difficulty of mining, the first option has proved to be of little advantage over the years, while the second is extremely profitable, and is also used today by thousands of people every day.
Bitcoin: who is behind it?
Many are wondering if the Bitcoin cryptocurrency is backed by a bank, government or physical asset. In reality this is not the case. This cryptocurrency is backed by a decentralized public network with more computing power than hundreds of supercomputers combined.
Is Bitcoin a Scam?
Although many systems are connected to the name of Bitcoin that exploit its popularity to scam users (see: Bitcoin Trader or Bitcoin Evolution), Bitcoin (the real one, the cryptocurrency) is absolutely not a scam, indeed, it is considered as one of the best financial markets in the world. However, to invest and earn concretely, a lot of commitment, study and a platform that is reliable and regulated is necessary. In this guide we have analyzed the best ones.
Are there really millionaires with Bitcoin?
At the moment, there are 17,971 Bitcoin millionaires or addresses that contain more than $ 1 million worth of Bitcoin. Moreover, the top 10 Bitcoin addresses host 5.4% of the total offer, the top 100 15% and the top 1000 35%.