Top Bitcoin Binary Option Brokers: Trade Crypto Currency Now
Are you looking to trade Bitcoin Binary Options? Are you interested ter finding a Binary Options broker that will take Bitcoin deposits spil well spil pay you te Bitcoin?
Thesis are some questions that wij at the Trading Club get fairly often from prospective members. They are drawn to the allure of trading the crypto currency and treating their transactions securely and securely.
This is why wij have determined to take a look at the current Binary Options landscape and locate the most reliable Binary Options brokers.
Ter the below table, wij have a number of Binary Options brokers who are able to provide either Bitcoin spil a tradable asset or a means to fund your account.
- One Touch
- Forex CFD
- 60 2nd
- One Touch
Why Bitcoin Options?
There are numerous reasons why people would want to trade Bitcoin Binary Options. One of the most visible is the comeback that a trader can generate when trading the crypto currency.
Spil most Binary Options traders can tell you, there are a number of factors that influence on the price of a binary option. One of the thickest drivers of this is the volatility ter the underlying asset.
Indeed, the more volatile the asset, the price swings te and out of the money and hence the more chance there is that the trader can make an outsized come back on a trade.
For those who go after Bitcoin, they know how volatile it can be. From spiking above the price of gold te February 2017, to falling overheen $300 ter the same day, it indeed is fairly unique.
Albeit there are uncountable cases for making an investment te Bitcoin, this volatility is most beneficial to the trader. Taking an option with a relatively brief time framework and close to the strike could yield tremendous gains.
Why are Bitcoins so Volatile?
Taking a look at the picture below of the 30 day realised volatility of Bitcoin compared to that of the EUR/USD pair gives you a slight indication of just how volatile the crypto-currency is. Ter fact, there have bot a number of occasions when it has breached the 15% standard deviation level.
Bitcoin is a volatile currency for a number of reasons. The very first and most significant is its status spil a “safe haven” asset. Similar to gold, it swings frantically given any macroeconomic uncertainty. It is also seen spil a dollar hedge. It is for this reason that Bitcoin will budge excessively te times of macroeconomic instability.
Bitcoin is also a currency that is powerfully traded by citizens of countries with rigorous exchange controls. Chief amoung thesis is China. China accounts for slightly more than 90% of the Bitcoin trading volume. Hence, Bitcoin is often tied to any movements that influence on the Chinese market such spil announcements about Yuan limitations etc.
Bitcoin is also volatile because of the limited supply of Bitcoin. Presently, the global supply of Bitcoin is approximately $20 billion. Compare this to the global supply of a currency like the US dollar of $Trio.8 trillion one can see that it is still minute. Moreover, no government or institution can influence on the total supply of Bitcoin on the market. This is because of reasons providing below. Due to this limited supply, Bitcoin is intensely driven by imbalances te supply and request.
Funding an account with Bitcoin
Another benefit of Bitcoin is that you can choose to fund your Binary Option account with it. Ter fact, an enlargening number of consumers and online retailers have determined to suggest Bitcoin spil a method of payment. This is due to a few factors.
Firstly, transacting with Bitcoin is relatively cheap compared to traditional payment processors. This is because there is no middle man or financial institution. Money is sent directly to the wallet of the seller. Another reason why Bitcoin is a favourable purchasing method is the relative security of the transaction. All of the transactions are recorded ter the Blockchain and are hence public record.
For traders who want to fund their accounts with Bitcoin, it could also permit for a certain degree of anonymity. Given that defrauding a Bitcoin transaction can’t be done, brokers will not require a client to provide their identification documents. The client can therefore feel safe knowing that they will not have to palm overheen sensitive information.
Of course, this depends on the type of broker. Many brokers choose to Know their Clients (KYC) spil it is usually required for compliance reasons. Ter a similar style, if you were able to fund your account te Bitcoin, some may want to withdraw their funds ter Bitcoin.
Spil is the case with funding, the transaction is usually fairly effortless, prompt, cheap and is recorded te the public blockchain.
What is a CryptoCurrency?
For those of you who are fresh to crypto currency, a limited introduction to the fundamentals underpinning a crypto currency such spil Bitcoin is required. Fairly simply, a crypto currency is a cryptographically signed record of a transaction ter a public ledger. Ter the case of Bitcoin, the public ledger is called the “blockchain” and it contains all the records of Bitcoin transactions going back to the beginning of time.
Ter essence, this means that Bitcoin is not even a physical asset strafgevangenis digital asset for that matter. It is a record of a transfer of value or transaction. Technically what is happening when you are sending some Bitcoin, the transaction is being broadcast to the Bitcoin network and being placed on the blockchain. Ter order for the transaction to be authenticated, it has to be digitally signed by computers on the network called “miners”.
Solving thesis transaction chains require the miners cracking mathematical functions or “proofs of work”. Once they have solved the mathematical function, they are rewarded with Bitcoin. Once your transaction has bot logged onto the blockchain and authenticated, it remains there for eternity.
The real genius of Bitcoin is the security and money supply of the system. Given that all transactions are linked via the blockchain, no one can “fake” a transaction spil it would be instantly void. Similarly, the difficulty of solving a Bitcoin transaction or “hash function” increases steadily with time. This implies that it becomes stiffer and stiffer to produce Bitcoin and hence boundaries supply.
It is for this reason that many people see it spil a favourable alternative to Fiat currency. There is no central handelsbank issuing authority and there is no canap required spil an intermediary. Individuals can transact ter a decentralised manner across the globe with relative ease.
What are Altcoins?
When it comes to crypto options and other cryptocurrencies, Bitcoin is usually the very first coin that comes to mind. Yet, there are a range of other cryptocurrencies that either rival with or complement Bitcoin. Thesis are called “Altcoins” or Alternative coins. They have grown ter earnest overheen the past Four years spil more people have seen the success of Bticoin can have attempted to replicate it.
Some of thesis Altcoins are even decedents of Bitcoin that came via something called a hardfork. This is a technical term for a split the blockchain of a particular cryptocurrency. Presently, there are at least Five different forks from Bitcoin that are Altcoins. Yet, thesis are a mere fraction of all the Altcoins that are available to trade.
There are hundreds of different crytpocurrencies that the option trader can trade and many more that are available only spil a physical purchase. Below wij will go overheen a list of some of the most well-known and traded Altcoins on the market.
One of the most notable and well known Altcoins is Ethereuem (Ether). This wasgoed a entirely fresh cryptocurrency that wasgoed created te via an initial coin raise back te 2014 by the Ethereum foundation. Albeit Ethereuem wasgoed a cryptocurrency, it wasgoed fundamentally different from Bitcoin te a number of ways. It wasgoed developed not just to be a decentralised crytpocurrency but wasgoed developed ter order to facilitate the creation of decentralised applications. Thesis “Dapps” are built on the Ethereum blockchain and are run on this amorphous ethereum “virtual machine”. This is also the manner ter which most of the fresh blockchain start-ups are raising funding thesis days through Initial Coin Offerings (ICOs). Ethereuem is a indeed volatile altcoin and has climbed by overheen 700% this year already. Most crypto option brokers will suggest Ethereum spil an asset to trade.
Bitcoin specie wasgoed one of those crypto assets that came about because of a split te the Bitcoin blockchain. The Bitcoin metselspecie developers determined to split from the main chain because of disagreement among the participants about the best way to scale the Bitcoin network. The “core” developer team behind Bitcoin thought that the size of the Blockchain “blocks” were not to be enlargened. This wasgoed creating issues with indeed low transaction speeds. Therefore, another group of developers determined to “hardfork” from the current Bitcoin chain and create a cryptocurrency that had a blocksize limit that wasgoed 8 times greater than Bitcoin. The result of that wasgoed the creation of Bitcoin metselspecie.
Ripple is an interesting crypto token spil it is not fully decentralised. Yet, it is one of the only cryptocurrencies that has a utter use case and is presently being used by a number of banks all overheen the world. Ripple wants to switch the way wij send money overseas thanks to the help of its Ripple protocol and ledger. Banks will use the Ripple tokens spil a means to send money from one corner of the world to another te a relatively brief period of time. The objective of Ripple is to usurp the Swift banking confirmation system. Ripple trades under XRP and has had a excellent overeenkomst of press lately.
Litecoin has often bot called the “silver” to Bitcoin’s gold. This is because it is similar to Bitcoin te many respects but differs te the way it implements transactions. Also, the hashing algorithms that are used by Litecoin are that much less resistant to conglomerate mining operations from using their specialised equipment to out mine normal users. Litecoin can still be mined by those people who have huis mining operations.
Monero is an interesting cryptocurrency asset spil it uses revolutionary cryptographic technology to keep transactions on the network totally private. Many people are under the impression that Bitcoin transctions are private which is not entirely true. Significant information of the transaction can be seen on the Blockchain (which is stored forever). Monero uses technology that is able to obfuscate information about the transaction including address and amount. Monero has also had an amazing run overheen the past two years since it wasgoed forked. It has enhanced by up to 100x.
Another Crypto option that has garnered amazing growth and is presently ter the top Five of all cryptocurrencies is Dash. It also has te built mixing characteristics which means that the transactions are semi hidden. This means it is hence also fairly private. Dash also has a payment protocol that wasgoed built into it called “InstantX” which is able to facilitate payments ter under Four seconds. This compares to the sometimes Ten minutes or more that it presently takes on the Bitcoin network. The Dash coin is also used by many merchants around the world for thesis purposes.
Irrespective of the crypto option that you determine to trade, you should make certain that you have understand the fundamentals and technicals of said cryptocurrency. Crypto options can be traded with many of the technical indicators that are used ter the Forex and Equity markets. Hence, charting strategies such spil the MACD Strategy or candlestick indicators can be used with fine effect ter thesis markets.
You also have to be aware of the fundamental factors which will influence the crypto options ter a particular market. For example, news around partnership announcements or potential adoption by an established company will influence on the price of the coin. Moreover, you have the onveranderlijk sagas that arise when the crytocurrency goes through a hardfork. There is always onveranderlijk volatility around thesis events.
Whatever strategy you choose to trade cryptocurrency options, be sure to use effective money management strategies. Reminisce, thesis are lucrative yet risky markets and you should never get carried away when things are not going your way.