Bitcoin – Australia’s Favorite Cryptocurrency

Bitcoin is an electronic currency that is created and managed by a decentralized network. It is a global currency that can be used for buying and selling goods, services, and many other things. Bitcoin has become the most popular cryptocurrency in the world and today we will be looking at the best place to buy bitcoins in Australia.

Bitcoin was created in 2009 by an unknown person using the alias Satoshi Nakamoto. The name Satoshi Nakamoto does not refer to any one particular person or entity. It refers to a group of people who had the same idea of creating this digital money and it was named after this anonymous person or group of people who came up with this idea.

Bitcoin is a peer-to-peer online payment system that allows users to exchange money directly without going through any financial institutions like banks or credit card companies.

As of the 6th of June, the value of Bitcoin was 29,685.90USD −157.20 (0.53%)today

You should understand that the value of Bitcoin is not static. Bitcoin is the most valuable crypto coin on earth and its worth is influenced by several factors that include:

• Unlike fiat currencies, new Bitcoin cannot be created or printed in millions or trillions. There will only ever be 21 million Bitcoin on earth. This is to help stabilize its value.
• Unlike centralized fiat currencies, Bitcoin operates by open-source code and works on blockchain technology that gives it decentralized coverage.
• Unlike fiat currencies, Bitcoin is globally transparent, and anyone can independently verify the total Bitcoin supply and its underlying code on the global ledger. It is practically impossible when it comes to fiat currencies.
• Bitcoin is the most secured computing network in the world. Robbers, hackers, and fraudsters cannot penetrate the system as it is secured by cutting-edge encryption and backed by immense amounts of energy. If anyone is to break into Bitcoin’s core encryption, it would require impossible specialized computers, amounts of energy, and space.
• You can access Bitcoin from any part of the world. Basically, it is an uncensorable and global network for transacting value, unlike fiat currencies that are restricted to national boundaries.

 Bitcoin Trading – Make Big Profits from a Small Amount of Money

Bitcoin is a digital currency that can be used for transactions between people. It was invented by Satoshi Nakamoto in 2009, and it has been growing rapidly since then. This has led to the rise of the cryptocurrency market, which is now worth over $600 billion. The price of bitcoin has increased by more than 2,000% since December 2017 and it is currently trading at $6,700 per coin.

Most of the people who are interested in investing in this market do so because they believe that this will be a good investment opportunity for them as well. They have assumed that the price will increase significantly over time and they will be able to make profits from their investments. There are three ways to make money from BItcoin, which are:

• Bitcoin trading
• Bitcoin HODLing
• Bitcoin Mining

In this section, we will be looking at Bitcoin trading and what it constitutes. There is a point of warning here, before going into Bitcoin trading, you have to learn how to control your emotions, as technical and fundamental analysis may mess up with your emotions at times. So let’s kick-off!

What is Bitcoin Trading?

Bitcoin trading is the act of speculating the movements in the Bitcoin price. The process entails, you buying bitcoin through an exchange, and using derivatives to speculate on when the price will rise and fall to make the most of bitcoin’s volatility.

You can’t just be a Bitcoin trader overnight, you have to understand the steps involved and study towards them. Below are the steps to trading Bitcoin.

• You have to learn what controls the Bitcoin’s price
• Pick a suitable Bitcoin trading style and strategy
• Choose your path of Bitcoin exposure
• Choose whether to go long or short
• Learn how to set your stops and limits
• Learn open and monitor your trade
• Learn how to close your position to take a profit or cut a loss

You have to learn what controls the Bitcoin’s price

The first step into a successful Bitcoin trading business is to understand what control and moves the Bitcoin price both upwards and downwards. Below are the factors that control the Bitcoin price.

• Bitcoin supply – There will only be 21 million supply of Bitcoin on earth, and it is expected to be exhausted by 2140. The finite and limited supply of Bitcoin simply means that the more demand for the coin keeps rising, the more the price keeps rising. A coin of no value in 2009, is now worth thousands of the United States Dollars, and the value keeps growing.
• External Bad press. It sounds funny but true. Bad press on news on bitcoin’s security, value, and longevity will greatly affect the market. In the face of Bad press, technical and fundamental analysis is laid bare.
• Level of Integration: The more Bitcoin is integrated into payment systems and banking frameworks, the price increases. This is because integration increases the demand for the coin which can cause the price to shoot upwards. In the same way, if Bitcoin gets banned or disintegrated in a nation or organization, it affects the overall price level of the coin in the global setting.
• Key events: Key events such as macroeconomic bitcoin announcements, regulation changes, and security breaches influence the price of the coin. So it is important that as a trader, in addition to gaining the skill, you have access to the news so that you can track possible fluctuations, and make the most of every situation.

Pick a suitable Bitcoin trading style and strategy

It is important that you make your research and choose a particular Bitcoin trading style, and master it before moving to another style. Each style has its rules of operations that are peculiar to them.

Below are the Bitcoin trading styles that you can choose from.

• Bitcoin hedging
• Day trading
• Trend trading
• HODL (or buy and hold)

Choose your path of Bitcoin exposure

There are a few ways you can get exposed to Bitcoin. It can be through:

• Trading bitcoin derivatives
• Buying bitcoin through an exchange
• Crypto 10 index

Best Places to Buy & Sell Bitcoins in Australia – The Leading Bitcoin Exchange Guide 2022

Forbes stated that there are nearly 600 cryptocurrency exchanges worldwide where you can trade Bitcoin and other digital assets. Amongst the 600 exchanges, I have come up with a list of the best exchange to trade or HODL Bitcoin in Australia. This selection was made by putting several factors into perspective, such as payment methods, user experience, fees, and the range of availability of coins.

• Binance– Overall Best exchange/Best exchange for features and altcoins 
• Digital Surge– Best exchange for value
• Kraken– Best exchange for trading
• com– Best exchange for beginners

Please do note, that this is not an endorsement of any of these platforms, before you choose any to use, I will advise you make your research and learn how to navigate through its User Interface.

Binance – Overall Best exchange/Best exchange for features and altcoins

Binance is the largest crypto exchange in the world in terms of daily trading of cryptocurrency, which gives you access to trade over 500 other cryptocurrencies including Bitcoin.

Also, Binance is one of the most innovative exchanges in Australia that allows Australians to have access to yield-bearing accounts, NFTs, decentralized finance (Defi), and lending and borrowing with a single account.

You get to explore advanced trading features like automated strategies, stop-loss, and leverage tokens.

Also in terms of Altcoins, Binance gives you access to over 500 tokens that you can trade on the spot market. Also, you can access an NFT marketplace and trade forex.

Here, you get to trade over 500 altcoins against BTC, ETH, BNB AUD, and US-dollar stable coins like USDT. In addition, you can explore soccer fans’ tokens with special perks.

When it comes to features, Binance is an industry leader which gives Australians access to unique features such as Defi services, NFTs, yield-bearing accounts, an extensive crypto learning hub, and Launchpad for investing in new digital products.

Digital Surge: Best for Value

Digital Surge is one of the best Australian value brokers. They charge only 0.5% to buy and sell cryptocurrencies with an average spread of less than ~0.4%, making it one of the fastest value Australian value storage.

Using Osko or PayID, you can instantly buy or sell over 250 cryptocurrencies. You can even set up a self-managed super fund and pay your bills directly from the exchange.

Kraken: Best for Trading

Kraken offers highly sophisticated trading features for Australians to trade their favorite digital currency. In addition, it is one of the oldest cryptocurrency exchanges in the world

As a crypto trader, Kraken gives you access to futures contracts, margin trading, and OTC services with deep liquidity on a range of cryptocurrencies. Also, you get to trade over 30 cryptocurrencies up to 5x margins. Furthermore, its User Interface is a pro one with customized API support and customized charts.

You can fund your account with AUD and trade forex from the comfort of your home.

Crypto.com App: Best for Beginners

The three above crypto exchanges are mostly for advanced Autsrlain crypto traders. As a crypto beginner, you need a simple User Interface and this is what Crypto.com’s app is offering you.

Crypto.com’s app gives you straightforward access to buy and sell cryptocurrency. You can easily store the currencies in yield-bearing accounts, or spend them with a Crypto.com debit card.

Its User Interface is simple and clean with access to over 200 cryptocurrencies, and you get to access to set up a recurring purchase to take advantage of dollar-cost averaging.

Crypto.com Earn helps you to earn a yield on your holdings.

Convert Bitcoin into Australian Dollars – Easy & Fast!

If you are asking how to convert Bitcoin into Australian Dollars, you don’t need to worry again.

To convert Bitcoin into Australian dollars, the best app to use is the Coinbase Converter. It is a fast and reliable app to convert your Bitcoin to AUD.

How do you get Bitcoins?

There are three primary ways to get Bitcoins. They are:

• Buying on an exchange,
• Accepting them as an exchange for goods and services,
• Mining new ones.

Here, we will be looking at the mining of Bitcoin. What it entails.

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What is Bitcoin Mining How Does it Work?

“Mining” is the discovery of new bitcoins.  In reality, it is simply known as the verification of bitcoin transaction

Bitcoin Mining is a highly profitable venture. Although consumer power needs many funds to start, it is one of the fastest ways to make money off Bitcoin.

The first Bitcoin was mined in 2009. Then in 2009, mining one block would earn you 50 BTC. In 2012, this was halved to 25 BTC. By 2016, this was further halved to 12.5 BTC. On May 11, 2020, it was halved down to 6.25 BTC. So basically, the Bitcoin mining reward is reduced by half every four years. So the next halving will start in 2024.

As of March 2022, the price of Bitcoin was around $39,000 per bitcoin, so as a miner, it means that you have earned $243,750 (6.25 x 39,000) for completing a block, which is a good incentive for your hard work.

To have precise knowledge or the ability to track when the next halving will occur, you can contact the Bitcoin Clock, which gives you real-time updates.

Also if you want to have an estimate on how much bitcoin you can mine with your mining rig’s hash rate, you can check out CryptoCompare a sit offers a helpful mining calculator that will be beneficial to you. The complexity of Bitcoin mining cannot be explained in just a section, for better understanding do check out “How Bitcoin Mining Works.”

Conclusion 

Although Bitcoin is a profitable venture, you must study intensively about it before venturing into it. Most people have lost their fortune in this because of a lack of proper knowledge. The volatility of digital currencies requires knowledge to scale through.

Originally posted 2022-07-07 15:14:40.