Cryptocurrency Trading with IQ Option
Cryptocurrencies are digital currencies that are created and transferred with the help of cryptographic methods based on blockchain technology.
What is crypto money?
In other words, cryptocurrency is an artificial payment system that is equal to fiat currencies and has a particular value. At the present time there are almost 3 000 different types of these digital assets in existence.
What is crypto trade?
Cryptocurrencies are expected to be equal to fiat money in the near future. At present they already have much in common.
For instance, crypto can be purchased and sold on trading platforms the same as with any foreign currencies. There exist rates for both digital and fiat currencies. Cryptocurrency trading is one of the most widespread ways of obtaining profits and is an innovative investment instrument.
How to trade cryptocurrency in IQ Option?
Our platform offers crypto together with 5 other trade instruments. Using cryptocurrencies for making profits is really simple. The platform offers up to 30 different coins and a trader is free to choose the ones he considers most suitable and begin to create his trade portfolio.
IQ Option provides easy to meet conditions for earning profits. The minimal trade limit is just $1 so it is especially suitable for beginners. To simplify the process, an auto trading regime and other options are suggested.
You can use a demo account to get to know the market, allowing you to test various strategies and avoid expensive mistakes. You can also download IQ Option app to broaden their financial portfolio through trading FX Options and CFDs on currency pairs (FX), stocks, cryptocurrencies, Commodities and ETFs.
Cryptocurrencies available on IQ Option
The platform offers 9 cryptocurrencies from the top-10 that are ranked according to the market capitalization (the stable coin Tether is the only exception).
The following top cryptocurrencies are suggested for traders:
- Bitcoin (BTC). The first digital currency that is still regarded as the most reliable one. Its market capitalization is more than 65% of total market capitalization of all digital currencies.
- Ethereum (ETH). Released in 2013 as a token for a large decentralized platform for online services launching. ETH occupies the second place according to market capitalization. The majority of services are nowadays launched on Ethereum blockchain.
- Ripple (XRP). This digital currency is a prototype of an open payment system based on blockchain technology. The main purpose is to avoid paying fees to banks and other institutions. XRP is used as a token within the system.
- Bitcoin Cash (BCH). Appeared due to a hard-fork chain split between the rivals Bitcoin Cash and Bitcoin SV. The split occurred in 2018 between rival developer factions who each took Bitcoin Cash their own way. One launched Bitcoin Cash and the other Bitcoin SV.
- Litecoin (LTC). That is a fully decentralized digital currency that is intended mainly for making the cheapest international payments.
Those are the top-5 cryptocurrencies according to market capitalization ranking. Our platform also offers some less popular ones in order to meet traders’ interests and provide them with full functionality. EOS, TRX, NEO and other tokens are thus also offered for cryptocurrency trading on the IQ Option platform.
Why you have to choose IQ Option for cryptocurrency trading?
While there are a number of platforms available to trade crypto, IQ Option offers traders the best conditions.
Firstly, with IQ Option, you may trade crypto using a demo account without any limitations. This protects beginner traders from losing any assets. Moreover, the same currencies are offered with different multipliers. Thus, the traders’ choice can be based on different instruments in order to obtain maximum profits while minimizing risk.
Platform for crypto trading
Digital tokens are mostly traded on crypto exchanges where the number of currencies is rather large. However,IQ Option has functionality that makes trading convenient and effective, offering traders the best conditions. Our platform is included in the top world rankings and offers clients only the most innovative functionality.
App for cryptocurrency trading
To make the process even more convenient and effective, our platform offers apps. Apps provide more options for traders. For instance, using an app, they may follow up to nine charts simultaneously. Changes are displayed 5 times quicker, something that is so important for cryptocurrency trading. This industry is marked by constant changes and rapid price movements in different directions, and the app helps traders to keep tabs on it all.
Trade cryptocurrencies with a leverage
What is margin trading in crypto?
Margin trading is an instrument that both promises greater profits yet implies higher risks at the same time. A trader uses borrowed funds to increase his buying power while making a deal. The crypto market is rather risky therefore such an instrument should not be used carelessly.
What is leverage in crypto trading?
Leverage trading is a rather popular notion that implies using assets you actually haven’t got. For instance, IQ Option offers multipliers x10 and x100 for Bitcoin trading. That means an increase in buying power by 10 or even 100 times. The potential profits increase while the risks become higher as well. High leverage is therefore mostly only used by experienced traders.
How does margin trading work crypto?
Using such a trading instrument is rather risky. Traders are recommended to first gain enough experience before using borrowed assets. Moreover, only some platforms offer such an instrument. One of the main benefits of margin trading is the higher profits that can be obtained.
How does leverage work in crypto?
Traders are advised to use high leverage when a bull market is observed. The crypto market is extremely volatile therefore leverage trading implies high risks for beginners. They need to first understand the main tendencies and price forming basics. With our platform, different leverage trading instruments are available in the demo accounts. Beginner traders can test leverage trading here first without losing funds.
Cryptocurrency trading FAQ
What is cryptocurrency: easy explanation?
Cryptocurrency can be understood as digital assets that are intended for particular platforms and are used within those platforms. Depending on the success of a particular project and on the general condition of the market, rates are constantly changing. Cryptocurrencies may also be regarded as both a means of payment and as a means of investment.
What is the point of cryptocurrency?
All digital tokens were launched as alternatives to fiat monies. They are decentralized and therefore are not controlled by any government. Cryptocurrencies are expected to become the most convenient global payment instruments in the near future. Moreover, digital assets have additional purposes depending on what a platform was released for. For instance, the TRON platform was launched for the gaming industry.
Is cryptocurrency better than regular currency?
Comparing crypto to fiat money isn’t simply a case of saying that one is better than the other. There are pros and cons for both. The main advantages of crypto lie in the fact that it is rapidly becoming a global, safe payment instrument that implies no fees and is completely decentralized. Moreover, digital tokens are expected to become the perfect instruments for investing funds. For instance, the price of Bitcoin has increased more than 100 000 times since its release. One of the main disadvantages of crypto, is its high volatility.. Digital currencies are not backed by gold or other assets.
What are the advantages of cryptocurrency?
Decentralization is understood to be the main advantage of digital tokens. Moreover, transactions are anonymous and cannot be changed therefore such payment instruments are extremely safe. In fact, the list of advantages is long which is why crypto assets are gaining in popularity so rapidly.
How does cryptocurrency trade work?
There are two ways to trade crypto. The first involves the direct buying and selling of digital assets. This implies that a trader becomes an owner of those assets. The second way is CFD trading which is when market participants earn profits by speculating on digital tokens’ price movements without being the owners of those assets.
How do I start cryptocurrency trading South Africa?
The IQ Option platform offers the perfect opportunity to become acquainted with this innovative instrument by using a demo account. Trading with this is absolutely safe. Users are not limited and a training account can be refilled to 10 000 USD as many times as needed. Having a demo account enables you to learn all the details about how to trade crypto with none of the risks. Once you are confident that you understand the system, you can open a real account.
How can I buy cryptocurrency?
Investors are invited to buy cryptocurrencies in special exchanges. These are regulated by responsible authorities therefore purchasing crypto there is a safe option. Our platform offers the buying of crypto for trading purposes only. That means that digital currencies cannot be transferred to crypto wallets, for instance. Thus, our trading platforms are only intended for obtaining profits while exchanges and wallets may be used for long-term investments.
What hours do cryptocurrency trade?
The foreign exchange market and most other trading instruments are available only at particular times, while the crypto market never closes. This is a great advantage for both beginners and experienced traders. Crypto exchanges and platforms are open 24/7 for the trading of digital tokens.
Do cryptocurrencies trade 24/7?
Our platform offers to trade crypto 24/7 so that you can gain more profits or develop your skills at any time of the night or day. Traders are advised to experiment as they learn. The market is rather volatile therefore any news concerning digital tokens may effect changes in their rates. Traders are expected to make instant decisions in such situations.
Can you trade crypto on weekends?
IQ Option offers weekend trading for all assets and therefore cryptocurrencies are not the exception. The market is open for traders 7 days per week.
What time of day is the best to buy cryptocurrency?
Prices fluctuate a lot, so it can be difficult to know when the best time to trade is. In fact, prices can vary up to 50% in a day. There isn’t really a perfect time of day to trade because prices are influenced by many factors.
Is cryptocurrency legal?
The status of digital assets completely depends on the particular country. There are some countries where the government has a favorable attitude towards new instruments (Estonia, Switzerland, Australia, etc.) but nevertheless the governments try to control the market because they’re afraid of its influence on the financial system. On the other hand, there are countries where cryptocurrencies are completely forbidden, such as Saudi Arabia and Pakistan.
Is buying cryptocurrency legal?
The majority of countries have no particular regulation for cryptocurrencies therefore citizens are free to invest money in such promising instruments. On the other hand, in Bangladesh, Nepal and some other countries, crypto investments are regarded as a crime. Therefore traders and investors are recommended to obtain the necessary information for their country before buying.
Is cryptocurrency regulated in South Africa?
In South Africa digital currencies are not accepted as payment methods but at the same time the government has a favorable attitude towards such assets. Moreover, research shows that more than 10% of South African internet users have invested in cryptocurrencies. South Africa is globally the top owner of cryptocurrency. Thus, cryptocurrency South Africa is regarded as absolutely legal.
How is crypto taxed?
The taxation policy is rather controversial as most countries have no definite understanding of such assets. In the majority of countries people are obliged to pay income taxes according to the current legislature, and profits from digital tokens are understood to be in the same category. South Africa is expected to become the first country to adopt a crypto taxation policy.
How does cryptocurrency trading make money?
Digital tokens are assets that can be bought and sold, therefore they are traded in the same way as other instruments. The principles are the same as well. Traders should understand the latest news of the industry predicting the increasing or decreasing of rates. The potential of cryptocurrencies is extremely high but the risks are high as well.
Can you make money off cryptocurrencies?
IQ Option offers traders the opportunity to obtain up to 900% profit on digital assets. This level of success is possible only in cases where the trader has a deep understanding of the market and is prepared to follow the news concerning the crypto industry.
Can cryptocurrency make you rich?
In 2017 there was a digital assets boom when their rates increased by 20% and more. Many people made a lot of money off this asset but times have changed. Traders should understand that a bull market is always followed by a bear one. Investing in a particular asset should be only made using intelligence, skills and all the available information. You will definitely not make anything by investing according to greed and emotions.
Can I become a millionaire from cryptocurrency?
There are examples where people have invested just 100 dollars and have obtained millions off trading in cryptocurrencies but looking for millions should not be an investor’s principal motivation. Investors or traders are recommended to develop their skills, and to learn to understand the industry up to the smallest details. That is the road to success. Looking for millions is a road to nowhere.
What’s the best cryptocurrency to invest in?
It is difficult to say which cryptocurrencies are the best investing instruments now. They can be divided into three groups. The first group includes those assets that are regarded as reliable and leading ones (Bitcoin, Ethereum, Ripple, etc.). The second category contains tokens that are regarded as promising for the future (TRX, EOS, NEO, etc.). The third group includes those coins that are less known but are looking quite promising (Stratis, Nebulas). Investors are expected to take into account numerous aspects they are interested in when choosing the most promising tokens.
Is cryptocurrency safe?
On the one hand, cryptocurrencies have been in existence for a long time and have turned out to be promising. On the other hand, every year many digital assets disappear, leading to bankruptcy. Experts have concluded that only top digital assets can be regarded as absolutely safe while other coins are always at risk of being influenced by numerous negative factors.
Is investing in cryptocurrency safe?
Investments are always connected with risk no matter how stable and promising the instruments are. Compared to stocks or foreign currencies, digital assets are a more risky investment yet at the same time are more promising. Some people have earned more than 1000% in profits..
Are cryptocurrencies secured?
Cryptocurrencies are theoretically secure but there are still cases of fraud, asset theft, etc. Because of this, investors should rely on the most respected exchanges or else choose other ways of keeping their assets. Referring to trading platforms, assets are more protected. For instance, IQ Option keeps its clients’ funds in an EU bank guaranteeing their safety and security.
How do I keep my crypto safe?
There offered numerous ways of securing digital assets. Cold wallets are regarded as the safest way of storing digital tokens. Hot wallets and exchange accounts are offered as alternatives.