Though the debate is ripe about the future of Bitcoins, the majority of serious BTC investors are already reaping big from Bitcoin. Depending on how you plan to generate income from trading crypto, trading digital assets can be a profitable venture.
Over time, various ways of investing in bitcoin have popped up every often. Though investing in Exchange-traded Fund (ETF) and Bitcoin trusts are some of the popular investment options, there are several ways you can invest your BTC.
You have either mined or obtained free Bitcoins through popular platforms available in the crypto ecosystem. What next? Do you have plans of investing your BTC to generate an income? Here are some of the best Bitcoin investment strategies you can try out.
Greyscale’sBitcoin Investment Trust (GBTC)
If you are Bitcoinenthusiasts wondering about how to invest in the capital markets then GBTC is a perfect option. The platform provides a great opportunity that makes it easier to trade Bitcoin and make some profit. You can earn profit through bitcoin trading on oil profit website
The impressive aspect of investing in the outfit is that it allows users to enjoy GBTC shares held by IRA, investor accounts, and other brokerage companies. Under the context, investors are offered a product that helps track the value of one-tenth of a Bitcoin.
Typically, GBTC gives investors who may find trading in the Bitcoin industry challenging the opportunity to navigate the market safely.
Amplify Transformational Data Sharing ETF ( BLOK)
Traded in the New York stock exchange Arca, BLOK is a fund that manages 15 different industries. Typically, the firm has invested in several other companies involved in the development of blockchain technologies.
Bitwise 10 private index Fund
If you are looking for a fund that will help you store your digital assets safely and earn a profit, then it’s high time you try out Bitwise 10 private index Fund. The company holds several coins to offer security and make it easier to use the traditional ETF.
Investors are required to deposit at least $25,000 as a minimum investment. This is in addition to a 2.5% fee ratio that investors are required to pay. Just like GBTC operates, the digital assets are held in cold storage (offline). The move guarantees advanced security for the investors.
But and Hold.
Buy and hold is a common digital investment strategy that aims at following up the volatility of digital assets in the market. Common among crypto users, the trend aims at holding and selling crypto-only when the price shoots up.
Most investors in these categories are not worried about the flip-flopping in the value of BTC. Most believe it’s a short-term trend that can change at any time depending on the prevailing market conditions.
Long positions on bitcoin
This type of bitcoin investment strategy where investors invest in BTC to make quick returns. In this case, investors purchase BTC and sell out at the end of the price rally. Investors execute this strategy by relying on the volatility of digital assets to adjust prices.
Should prices swing in their favor, they are likely set to sell out their crypto at a higher price and generate profit.
Short positions on Bitcoins
Some investors capitalize on available market conditions to adjust prices. They buy when the price goes down and sell out when the price goes up. In most cases, buyers make a profit based on buying and selling their coins.
Investors buy when the price goes down and sell out when the price increases. The danger of this strategy is that the price may move against you resulting in huge losses.
Purchasing standalone Bitcoin
A great way you invest in bitcoin is through buying a coin or a fraction of a coin through various trading Apps like Coinbase.to Transact on the account, you will have to submit personal details to create an account. You can then have to deposit the amount you will use to buy Bitcoin.
Just like any other ETF platform, you will gain access to the price performance of bitcoin. This allows you to buy and sell BTC based on the prevailing market environment. Any time you purchase the digital assets, the amount is secured through encryption technology on the platform.
The downside of this investment option is that some platforms have set the minimum deposit amount to allow investors to have access to the platform.
Final thoughts
Though several Bitcoin platforms are available for investors, the need to choose a credible platform is critical to saving you from losing your investment to fraudsters. The bottom line, choosing the right platform may help you generate impressive income than you could have imagined.
