Why it may be better to trade Bitcoin with a forex broker

Trading Bitcoin

Bitcoin has grown in popularity, so you may be tempted to buy Bitcoins and hold on to them. If, however, you are a trader, then you may be looking instead to profit from short-term swings in the value of Bitcoin.

Using a forex broker, you could trade cryptocurrencies as a spread bet or a CFD. This way, instead of actually possessing any Bitcoin, you can speculate on the rising or falling value of the cryptocurrency.

Trading cryptocurrencies with a forex broker does not really carry any additional expense as all costs are generally included in the spread. With crypto exchanges, investors may enjoy tighter spreads but will usually pay volume-based commissions.

One of the main reasons people are choosing to trade Bitcoin with a forex broker is the safety and security element.

That’s because, while cryptocurrency exchanges present numerous options, they may also be unstable and prone to scams. Indeed, a large number of crypto exchanges specialising in Bitcoin have now disappeared – taking investors’ money with them.

Cryptocurrencies carry a higher risk due to their volatile nature so it is important to trade safely and choose a regulated broker. Brokers like InterTrader are properly regulated and operate under the most stringent regulatory bodies in the world. So, you can speculate on the value of Bitcoin with complete peace of mind.

You should however note that leveraged trading on cryptocurrencies will increase both your potential profits and your potential losses. Make sure you manage your risk when trading cryptocurrencies.

To learn more about trading cryptocurrencies, chat to the InterTrader team now.

InterTrader Ltd

For more information, trading education and offers visit InterTrader

You should under no circumstances consider the information and comments provided in this article as an offer or solicitation to invest. This is not investment advice. The information provided is believed to be accurate at the date the information is produced.

Spread betting and CFD trading carry a high level of risk to your capital and can result in losses that exceed your initial deposit. They may not be suitable for everyone, so please ensure that you fully understand the risks involved.

InterTrader is a trading name of InterTrader Limited which is owned and controlled by GVC Holdings PLC. InterTrader Limited is authorised and regulated by the Gibraltar Financial Services Commission and registered with the Financial Conduct Authority in the UK, ref 597312. Registered address: Suite 6, Atlantic Suites, Europort Avenue, Gibraltar.

Losses can exceed deposits