Archives for January 2021

If you are looking for a way to diversify your investments, then you may have heard people discuss something called Bitcoin. Bitcoin is a specific type of cryptocurrency that can be purchased and sold in a manner that is similar to traditional stock markets. Of note, unlike traditional stock markets, which are usually only open for several hours on weekdays, cryptocurrency markets, such as the Bitcoin exchange, never close.

Therefore, there may be a lower barrier of entry when it comes to trading certain types of cryptocurrency. At the same time, does this mean that Bitcoin is a smart investment for you? What do you need to know about this training opportunity before you get involved?

What Is Bitcoin?

First, it is important for you to understand exactly what Bitcoin is. Bitcoin is a specific type of digital currency. This means that you do not physically hold Bitcoin in your hand, unlike a dollar or coin, but instead, you will trade virtual Bitcoins out of your digital wallet on the exchange. Similar to traditional stocks, the price of Bitcoin is going to rise and fall over time. If you are able to purchase several Bitcoins at a relatively low price and sell them at a higher price down the road, you will generate capital gains, similar to capital gains that you may generate in a traditional stock market. On the other hand, it is important to note that Bitcoin markets do tend to be more volatile than the traditional stock market.