Bitcoin trading refers to the act of buying and selling Bitcoin via an exchange platform. In short, Bitcoin can be traded in many ways. The first way is to indulge in buying and selling of BTC on a cryptocurrency exchange. Another way of trading in Bitcoin is by means of derivative financial instruments, such as Contracts for Difference (CFDs). Trading via CFDs facilitates traders to trade as per the direction of market movement over the very short-term period and allows you to bet on Bitcoin price changes without actually owning any underlying coins.
CFDs have become a popular way to trade in Bitcoin as they offer greater flexibility and with the optimum use of leverage one can take short as well as long positions in Bitcoin.
In order to start trading in Bitcoin, one first needs to be well-equipped with adequate information and should have a familiarity of the subject. It is also critical to know the associated risks and the regulatory laws which might affect one’s jurisdiction and decisions.