Bitcoin Leverage Trading in South Africa
Bitcoin's margin trading in South Africa is driven by a digital financial environment. In fact, every day thousands of new investors join a market with great potential, now not only in the commercial sector (as a means of payment in shops, restaurants and tourist services) or through exchange, they also use Bitcoin as a real investment alternative.
This "online scenario" has allowed the growth of an innovative market such as the crypto-currency market, reaching an average daily trading of over 500 thousand dollars (only at BTC).
What is Bitcoin leverage trading?
Cryptocurrencies offer a wide variety of options in financial terms, although there is still some "scepticism" among local banks, they agree that they could be integrated to improve the efficiency of services (there is a huge segment of people who prefer to use Bitcoins instead of traditional financial services). South African citizens benefit from their versatility, they can now pay for more goods and services, and even use it as an alternative means of saving.
On the other hand, they are also becoming interested in the advantages it offers as an investment medium. While it is true that many make profits through marketing (buying at a specific price and selling at a higher value), this is only feasible when the price change is favourable (in this case on the rise). Whereas in Bitcoins trading with leverage, you can trade in either direction, regardless of whether the value goes up or down (the results depend on the correct prediction made by the investor).
You might ask: What is Bitcoin leveraged trading, and how will it help me make a profit? In this type of trading you can "increase" your capital (through leverage) to meet a trading requirement - margin.
The margin is expressed as a percentage, indicating the amount required to maintain an active position during the trade. In other words, the leverage allows you to trade with a higher amount and according to the margin set by the service.
Learn more about some of the aspects to consider when trading with Bitcoin's leverage:
- It offers the opportunity to trade with a higher amount than you actually have, with the possibility of getting better returns. By using a minimum amount, you could invest in other assets (diversifies the use of capital) and lower the level of risk.
- The potential return is amplified, but without the need to commit more money. Although losses can also be increased (they would be higher compared to a trade without leverage).
- If you trade on Bitcoin margin, you can take advantage of the movements in value (both up and down), as long as the forecast is accurate at the time the trade is closed.
How to trade Bitcoins with online leverage?
You can now trade on price changes (in both directions) through CFDs or contracts for difference. When you trade with leverage, you don't acquire title to the asset, but rather a contract is established on the "difference in value" (this would be the Bitcoin price) that occurs between the opening and closing of the trade.
You can then invest on these changes according to the forecast you decide to set up (if you are successful at closing, you receive a profit that will be equivalent to the capital invested).
When making a leveraged trade, you can have the options offered by the service (some operators can provide a multiplier of x10, this means that its amount will increase 10 times the original amount). For example, if you decide to use a x10 multiplier to invest $100, it would be a 10:1 leverage to open a position with $1000.
It should be noted that trading with the use of a multiplier involves a risk that is relative to the possible profit. Simply put, you must be prepared to accept that the money you invest is at risk, as a "small change" can mean a large loss. This is certainly a situation that can be complicated to handle for beginner traders, however, there are ample educational content and training options available. This way they know the basics before they "dive in" on the investment.
If you want to trade with Bitcoin leverage in South Africa, learn the steps below:
1. Today you can trade on BTC using an online trading service, select the most convenient one among those operating in South Africa. They usually accept a wide variety of payment methods (including the crypto-currency itself, as well as dollars or euros).
2. Register your trading account, it is a simple procedure that you can do without setbacks and requires only basic information. At the end of the process, you will be able to download and install the application for trading (you can do it on a personal computer or mobile phone).
3. Log in with your personal data (preferably in the trial version), display the list of assets and choose "Crypto" then you can select "Bitcoin" among the enabled assets. You will also be able to document yourself with updated information on: news, trading conditions, quotation, among other additional data.
4. Determine the amount to be negotiated, you have the opportunity to practice a virtual balance before depositing your money (this fund is recharged on a scheduled basis or you can request the recharge depending on the service), as well as the multiplier to be used (x1, x3, etc.). You will be able to make a purchase or sale order according to the predictions made, as well as the configuration of the "automatic closing" which allows you to take care of your capital and take advantage of the benefits.
Bitcoin trading platform with leverage
With the platform you can log in from several different computers (your personal computer, tablet or mobile phone), as well as through different versions (website, mobile devices and computers), using the Internet as the common access channel. In other words, you can do "margin trading" from any device (where you have the application installed) and know in real time the progress of the operation.
These trading services use cutting-edge technology to offer new options, now with a "minimum" you can invest in the crypt market, but with the possibility of making great profits on the best leverage trading platform from Bitcoin.
In addition, they provide relevant information to develop the activity such as: the spread (difference in value between the sale and the purchase), rates or night time commissions, news and others. Investors can also use advanced functions to study the asset, graphical elements that facilitate the famous technical analysis (it consists of the study of previous variations to identify possible patterns or references that allow to predict the next changes).
What is a Bitcoins trading platform with leverage?
They offer the real possibility of negotiating with the famous cryptoactive without having to invest large amounts. Furthermore, they are an alternative to compensate for adverse economic effects (such as the consequences of the pandemic) and achieve satisfactory results. You'll recognise the best leverage trading platform from Bitcoin when it provides you with an efficient service tailored to your financial needs and goals.
With these online applications important limitations were overcome, now any South African citizen who wants to invest savings in crypto-currency can do it from his mobile phone.
How to start trading with Bitcoins with leverage?
You can invest from anywhere in South Africa, you just need Internet access and determination to achieve your goals. Once you choose the platform you will have to meet some requirements (they may vary depending on the service selected), however, they have been designed to allow easy access, establish flexible conditions and allow you to use the application without operational costs. It is important that you review the following aspects before starting to operate:
- Select a service according to your level of experience and business objectives (if you are inexperienced, choose a company that provides you with an educational program as well as technical assistance).
- Design a tailor-made plan (in the training process you should use the practice version, know the different strategies and learn how to use them accordingly). In addition, it allows you to gain confidence to obtain satisfactory results in line with your profile.
- Document yourself and analyse information related to Bitcoin, it will help you improve your predictions depending on the tactics you use.
How to register?
Now you can invest in the most commercialized crypt in South Africa and the world, you only have to do the following procedure:
1. Enter the operator's official website and click on "Register", you will have to fill out a digital form with your email address and a personalized access password.
2. When you send the form you will receive (in a few minutes) a confirmation email, you will only have to enter the link received to validate the email.
3. Download and install the investment software, some services provide different versions that can be adapted to the type of user (select the most convenient).
4. Verify your business account, it is a procedure required by any service and complies with security standards. It is very simple and can take only 24 hours, you will have to validate your identity and address (send the documents in digital).
How to open a demo account?
The practice account is enabled at the end of the registration process, an excellent opportunity to learn how a Bitcoin trading platform with leverage works. There is no additional cost to use it and it has a "practice fund", usually allowing access to all functions (basic and advanced) including some offering real-time quotes for the instrument.
How to open a real account?
It opens automatically after registration, in fact, you can "swap" your account (demo - real) whenever you decide and consider it convenient. However, in order to operate the account you must deposit the available capital (it is recommended that you use a part of your savings or free money that does not affect your budget).
How to finance a deposit?
You can deposit with the most used payment methods in South Africa, from cards (credit and debit), bank transfers and digital wallets, you only have to choose the most accessible for you. Remember to check the associated fees and commissions, although some operators accept deposits at no additional charge. Once you choose the method, select the amount and type of currency (you can also deposit with Bitcoin).
Minimum deposit amount
This is the minimum amount you can deposit to trade on the platform, undoubtedly one of the aspects to take into account at the beginning. In South Africa you will find applications that only require 10 dollars to start trading on the real account.
How to withdraw money?
You will be able to withdraw funds at any time you wish, generally most options are available. The withdrawal process includes an additional step, you will have to send a request form with basic information, depending on the service may take between 1 and 3 business days to receive the money in account.
Bitcoin online leverage trading security
You can now invest in digital currencies such as Bitcoin reliably, the money you deposit and your data are safe, these online services use security protocols. In addition, the most renowned services have various protection systems.
How safe is online trading?
This type of service offers a safe environment for investing, however, remember that each user must be responsible for the strategies and actions they take. The operating procedure is very reliable, but success only lies in the skills and ability of the investor.
Are my online transactions protected?
There are companies that offer assistance against negative balances (in case of leveraged operations that generate significant losses in a very short time). Remember that you are the guarantor of the result in each position, analyze every detail and information that is relevant, besides practicing enough before entering real money. Experience, knowledge of the market and an adequate plan, will allow you to advance in a sector as complex as finance.
What is Margin Trading or Leverage?
It is a trading option with which you can "expand" the volume of your investment, so that you can meet a minimum amount required (in this case for the service) to open a trade.
How does leverage work?
It is an alternative that can be chosen by the trader with derivatives (such as CFDs), you can trade with a higher amount than you actually have in your account. If the result of the trade is favourable, you will get a return related to that increase, but otherwise you will also lose by the same amount.
What is the best level of leverage for a beginner?
Although there are various "theories" on the subject, many experts agree that it depends on various factors: the trading facility and its conditions, the types of leverage available, the average return, among others. Reality shows that if you are starting out in this activity you must do so with prudence and common sense, although it is very easy to "get carried away" by the impulses, you will have to control them in order to progress gradually. Although it is possible to obtain short-term income, it requires extensive knowledge, experience and skills.
What is 10x leverage?
If you have 10 dollars and use a x10 multiplier, you can open the trade with an amount equivalent to 100 dollars.
How does 100x leverage work?
If you have 100x leverage, the amount you trade will be increased by 100 times its value.
How do I trade at Bitcoins?
Selecting the right online service for your profile is a key aspect of safe trading.
Can you buy Bitcoin on margin?
Although it is not possible to buy the asset with this method, you can trade on margin (by increasing the amount of the transaction) on the price changes experienced by the instrument.
What is leverage at Bitcoin?
Leverage is the ability to 'expand' the potential of an investment in order to achieve a wider range of returns. In that sense, you need a "minimum amount" that allows you to trade, but with the same possibilities of profit as if you had the largest equivalent amount.
Where can I trade on Bitcoins with leverage?
The best online trading services work in South Africa, from local options to world-renowned applications. All you have to do is choose an application that gives you confidence, that fits your needs and investment objectives. It is also important that the service allows you to acquire knowledge and sufficient experience.