Crypto currency day trading is offered by Forex/CFDs and Simplified Forex brokers. You should be careful when selecting a broker to open an account with since there are many scams around.
Below you will find a list of the best, most trustworthy brokers. By choosing one of the below brokers to invest with, you will be sure that the money you invest is safe.
Best Cryptocurrency Day Trading Brokers
If you’re considering to work with a different broker, make sure to check with us first that they’re not scammers. The brokers listed below are ones we’ve been working with for a long time so you can be sure they’re legitimate and trustworthy.
Markets – Forex/CFDs Broker
Official website: Markets.com
Minimum deposit: $100
EU regulated by CySEC and holding a South Africa FSB regulation, Markets.com is one of the best Forex and CFDs brokers in the online trading industry. Recently, they added cryptocurrencies to their ever growing list of tradable assets, so now us crypto traders can enjoy trading with this excellent broker too.
Supported cryptocurrencies: Bitcoin, Bitcoin Cash, Dash, Ethereum, Ethereum Classic, Litecoin and Ripple.
IQOption.com – Forex/Simplified Forex/CFDs Broker
Official website: IQOption.com
Minimum deposit: $10
A Forex, Simplified Forex and CFDs broker with support of crypto currency trading including Bitcoin, Litecoin, Ripple, Dash, Iota and Ethereum. When signing up with IQOption.com, you will get a FREE $10,000 demo account to test out your strategies before risking real money.
General Risk Warning: The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose.
Day Trading Crypto Currencies
Now that you have a broker account, what’s the next step in order to start day trading? First of all, you should read as much as you can about the basics of forex trading. There are plenty of materials online for free. We’ll be glad to point out specific material to you if you reach out to us. While you are learning, only practice on your free demo account. All of the brokers we recommend provide such demos so make sure to use them before you put your money at risk.
Ready to trade some Bitcoin? Here’s a FREE trading pattern you can start with. It’s very simple to implement. Again, make sure to use a demo account until you’re confident in your ability to use this pattern profitably. You will also need to read as much as you can about what’s known as the fundamental factors influencing your assets. This is more significant for long term trading, but can also have an effect on short term trading due to increased volatility.
We will upload a lot of great trading patterns to this page so make sure to check back often.
Crypto Currency Auto Trading
The fact is that most Bitcoin and crypto currency auto traders are scams. Notable examples would be the Bitcoin Code, the BTC Robot and MyBitcoinBot. Only rarely do we find an auto trading system that is legit. And even then, we would only recommend such a system to an experienced trader who is knowledgeable about technical and fundamental analysis. To learn more, read our Gunbot review, CryptoTrader review, Haasonline review or CoinCube review.
Know any other great auto trading systems for cryptocurrencies? Please enlighten us by commenting below.
What are the Differences Between Forex/CFDs and Simplified Forex?
Simplified forex and Forex/CFD trading represent three ways for traders to get into the game, three ways which – in some aspects – are quite similar, while in others, they’re indeed radically different. Virtual currencies can be traded through all the above said methods, although the degree of direct exposure one’s investment has to the actual price-variation of the said currency is different from one to the other.
Let us start with the beginning, by taking a look at what simplified forex is. Simplified forex, also known as binary options, are financial derivatives, which allow traders to essentially place wagers on the direction of the price-change of the underlying asset. There are two basic things one needs to understand about simplified forex contracts. First off, they never grant the trader ownership of the traded asset in any shape or form. As financial derivatives, they are instruments which act as a layer between actual ownership-based trading and the investor’s money.
Secondly, simplified forex contracts feature propositions, every variable of which is known before the trade is actually launched. The trader knows the amount of money he/she invests, and he/she also knows exactly how much a win would yield. The win condition is also known, obviously. In a nutshell: simplified forex contracts operate with fixed risks and fixed rewards According to some, simplified forex trading is little more than gambling. If the trader’s prediction goes wrong, he/she ends up losing his/her full investment. It if is right, the trader gets the investment back, plus a return. To be profitable over the long run, the trader needs to win the majority of his/her trades.
Some simplified forex brokers use the exchange-based format, which allows traders to trade against their peers. Most brokers licensed by CySEC though, trade against their clients themselves, taking on the role of the “house” and thus giving birth to an irreconcilable conflict of interest.
With CFDs, guessing the direction of the price movement is still important, but the actual size of the said price-movement is also important, as it determines the eventual size of the trader’s profits.
With Forex (FX) trading, the focus is on the size of the price-movement, which means that in order to be profitable, one doesn’t actually need to end the majority of his/her trades with a profit. A single successful trade can be profitable enough to make up for losses incurred through several other trades.
Another difference between spot FX and simplified forex/CFDs is in the fact that with the former, the trader can actually choose to close a position any time he/she wants to, while with the latter two, the expiry time is set before the launching of the trade.
Everything considered, it is safe to say that simplified forex and FX represent the two opposite ends of this spectrum, while CFDs are a sort of halfway-point between the two.
Lately, many FX brokers have added other cryptocurrencies (mostly Bitcoin, Ethereum and Litecoin, but also Iota, Ripple, Dash, Monero, Zcash, Bitcoin Cash, BlackCoin, Peercoin, Primecoin, Reddcoin and others) to their tradable asset selection, so those drawn to this vertical do indeed have the opportunity to trade digital currency through derivatives and FX.
Which of these trading instruments is the best fit for you? It all depends on your trading style and money management preferences. The depth of your involvement in trading is also a factor in this regard, as is the method through which you make your market predictions.