So What is Bitcoin Trading?
If you buy Bitcoins at one price and then sell them for a higher price, you make a profit of the difference between those two prices, less any commission that you paid. However, if the price goes down, you will be in the uncomfortable position of having to either sell them at a loss or hold and hope the price goes back up while risking higher and higher losses if the price continues to drop.
Bitcoin Trading is very profitable if done with Calculated risk. Depending on market movement and pattern, Bitcoin is usually quite volatile and jumps several time up and down throughout each trading day. But since the nature is quite volatile , it could be very risky as well other then profitable.
Based on expert trader experience, if you want to Trade bitcoins in Dubai, you must follow below rules.
- Never put all your eggs in one basket. Your capital should be broken into smaller lots for multiple positions at different price levels.
- Do not invest your life savings or money that may change your life drastically in the event of a loss. This rule is important mainly due to the existing level of uncertainty that still exists within the Bitcoin market.
- Take full advantage of available technology in order to gain maximum profit
- Understanding the market is a continuous process and requires a lot of time, concentration and effort. It is very crucial to do research and be up to date with current trends.
- Know when to cash in. It is important to stay focused, unemotional and professional.
- Traders should keep in mind that losing, just as much as winning, is an integral part of trading. It is the cumulative gains that count.