A Beginner’s Guide on How to Buy Bitcoin: 7 Helpful Tips

If you’ve never invested in bitcoin, you’re missing out on major gains. So what’s stopping you?

Many people are starting to spend time learning how to buy bitcoin with PayPal and trading platforms because of how much potential it has. Bitcoin is currently one of the most talked-about investments, which is causing a lot of speculation about what the future holds for the way we use money.

Learning how to buy bitcoin stock is a great way to start generating income because it regularly sees massive value increases. Fortunately, we’ll give you all the tips you need to start making money with bitcoin.

Here are 7 helpful tips on how to buy and sell bitcoin successfully!

1. Choose a Trading Platform

When it comes to buying bitcoin, the first thing you must do is choose a trading platform. This is one of the easiest steps, because most platforms offer bitcoin, so it comes down to what your preferences are.

For those that are looking for a simple platform to buy bitcoin, Robinhood is a great option. Anyone that wants to know how to buy bitcoin anonymously can buy bitcoin at VirgoCX.ca, which is another great option for beginners.

If you want to use advanced tools to analyze trends, a platform like Webull provides everything you need. However, you can find a plethora of other platforms that have advanced features.

2. Study Bitcoin Trends

Bitcoin is a unique thing to invest in because its value is constantly fluctuating at large percentages. Many things can cause bitcoin to rise or drop in value, so you’ll need to spend time figuring out what the main catalysts are.

Today, bitcoin is often affected when laws around cryptocurrency are introduced. For example, Turkey banned cryptocurrency from being used in the country. When this was announced, many cryptocurrencies plummeted. But, bitcoin managed to bounce back.

3. Follow Reputable Bitcoin Investors

An effective way to learn how to buy bitcoin stock is to follow reputable investors. You’ll need to find people that regularly talk about cryptocurrency and provide a ton of information about it. Twitter, Reddit, and YouTube are common places where crypto investors connect to talk about bitcoin.

When you start following them, try interacting with them as often as possible. If you can talk to someone about bitcoin, you’ll have an easier time learning things about it.

However, don’t base your trades on their opinions. While you can bounce ideas off of one another, you should never rely on another person’s word when making a trade.

4. Regularly Read Bitcoin News

Aside from following bitcoin investors, you can learn more about it by regularly reading bitcoin news. As a bitcoin investor, this is something you’ll need to spend a lot of time on because of how volatile the stock is. The more you read the news, the easier it’ll be to make trade decisions.

Many people use the news to learn how to buy and sell bitcoin because major announcements can set off market-wide reactions. Cryptocurrencies plummeting after Turkey banned them is a good example of this.

Because bitcoin isn’t tied to a certain country, you’ll need to read crypto-related news from all countries. Try to take in as much info as you can so you never lose money.

5. Get Bitcoin on PayPal

Many people don’t realize that you can buy crypto on PayPal, which was announced last year. But, you can buy, sell, and hold bitcoin in your PayPal account, which is one step closer to making bitcoin mainstream.

Learning how to buy bitcoin with PayPal is simple. When you log in, you’ll see a Crypto section that you can click on. From there, you can buy bitcoin, ethereum, bitcoin cash, and litecoin.

If you want to know how to buy bitcoins with cash, this is the simplest method. You can use your PayPal balance to purchase bitcoin directly.

6. Diversify with Stocks

When people are learning how to buy and sell bitcoin, they often overlook the fact that their portfolios should be diverse. But, this is essential if you want to avoid losing all your money with one negative announcement.

Having a diverse portfolio will make sure you can continue growing your account, even when bitcoin drops in value. As the old saying goes, “never put all your eggs in one basket.”

7. Buy Shortly After the Dip

In the investing world, people often say to buy the dip. However, buying the dip can be risky if you’re looking for a quick profit.

The problem with “buying the dip” is that you don’t know exactly how low the dip will go. While buying the dip is a great way to get a discount on bitcoin for long-term holds, it won’t help you if you’re looking to day trade.

Instead, you should buy in shortly after it recovers. The theory behind this is that a plethora of people will be buying after the value drops. If you join this wave, you can get a decent price while the value continues to go up from other investors. From there, you can sell after a few minutes and make a profit.

Now You Know How to Buy Bitcoin

After reading this article, you no longer need to struggle with learning how to buy and sell bitcoin. Whether you’re looking to become a long-term investor would like to make a few day trades, follow these tips and you won’t have a problem making money.

We encourage you to spend some time studying bitcoin trends before you put money into it. This will give you a better understanding of what makes it move, making it easier to earn money.

Check out our other articles to learn more about how to buy bitcoin stock!

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