How to Trade Bitcoin Using the eToro Platform?

Bitcoin trading has grown tremendously over the years and a lot have benefited from it. In fact, trading this cryptocurrency has been the talk of the town during these challenging times with the COVID-19 pandemic where most people are stuck at home and are looking to earn extra income.
Trading Bitcoin can be truly profitable, but only when you do it right. And your journey towards success will start with finding a trusted brokerage company with credible trading conditions and reliable trading platforms. This is where eToro can help you!
eToro has been a consistent pioneer in the financial sector for more than a decade, providing top-notch trading services in over 60 countries. It is generally regarded as the largest social trading network in the world. With eToro, you can trade Forex, stocks, commodities, and of course, cryptocurrencies including Bitcoin.
We will provide you a step-by-step guide on how to get started on the eToro platform, but before we do, let’s give you some Bitcoin 101.

The Story of Bitcoin

In 2009, a certain Satoshi Nakatomo, whose true identity is still not known to this day, released Bitcoin, which many consider to be the first ever cryptocurrency.
Essentially, Bitcoin is a digital currency whose transactions are kept on a public ledger known as blockchain. Bitcoin, according to its creator, was created to decentralize money. This means transactions are done without any third parties like regular banks. Thus, transactions are conducted safer, and fees are lower.
Apart from Bitcoin, the number of cryptocurrencies accessible on the Internet has reached over 2,000, including Ethereum, DASH, Litecoin, and Ripple.

How to Trade Bitcoin with eToro?

Many crypto and Forex firms have come into existence providing crypto trading, but you can’t just spend your money in any broker you see on the Internet. As a trader, you have to ensure that you find a reputable broker that suits your needs. And this is when eToro comes in. eToro is a pioneering social trading network with millions of registered users from around the world, offering a wide variety of innovative trading solutions and investing resources.

• To get started on Bitcoin trading using the eToro platform, open an account using its sign-up page.
• After you have opened your account, you can start looking for the cryptocurrencies that you wish to trade.
• Enter the investment amount, and then click “Open Trade”.

If you want to first test eToro’s platform without spending real money, with its demo account, you can do so. The US Forex broker provides users with $100,000 virtual money which they can use to buy and sell Bitcoins without any financial risks. This will allow you to go through its platform and get a grasp on how it is trading with eToro.

Trading Bitcoin with CopyTrader™

Through eToro’s very own copy trading platform CopyTrader™, it is possible to trade Bitcoin by copying the positions of other users. Copy trading has gained popularity in recent years because it allows inexperienced traders and investors to enjoy the profitable world of online trading.
So, for example, when the trader you wish to copy from opens a buy position, a buy position will also be opened in your trading account.

Factors that Impact the Crypto Market

It is known that the crypto market is a volatile market, and there are several factors driving it, including:

• Bitcoin price – as the original cryptocurrency, a shift in the price of Bitcoin could have an effect on the entire crypto sector.
• Traditional Markets – since many see cryptocurrencies as a replacement to conventional markets like stocks, the crypto business can be impacted by a sudden shift in stock prices. Cryptos, for example, appear to go up when stocks are down.
• Regulation – the crypto market is not regulated. But central banks and regulatory entities from around the world have their eyes on the market. This is why any regulation announcements from them can also impact crypto prices.
• Media News – News has a huge impact on the entire crypto market. When a well-known personality makes a comment on social media platforms about Bitcoin or any cryptocurrencies, the market tends to react significantly.