One of the key advantages of Bitcoin binary options contracts is that you know expected winnings and losses before taking a position. However, for newbies, selecting the right strike price and expiration can prove challenging.

Select targets that maximize your chances of profit while minimizing your risk exposure. This evaluation should be based on the plan you define in step two. Then once you are familiar with how binary options and pay-outs work, you can try more advanced contract options. While some contracts you can leave until expiry to see whether you win or lose, others may allow you to close your trade early if the market moves against you.

Similarly, if the market is trending in your favor, you may want to consider closing your position early to protect your winnings. Importantly, check contract terms and conditions first because options may have rules and stipulations about early exits. Trading Bitcoin binary options successfully takes practice.

So look for ways to sharpen your skills and learn from your past mistakes. Seek the knowledge of experienced investors by joining forums or look for a provider that offers social trading capabilities.

Free paper trading accounts are another opportunity to improve your skills in a risk-free environment before investing money. BTC binary options are some of the most straightforward crypto trading assets. For beginners, they offer a straightforward proposition with risk and reward known upfront. The volatility of the largest digital currency by market cap also means there is ample opportunity to generate returns.

Just make sure you sign up with a reliable broker before you start trading. Bitcoins are a worldwide phenomena and a growing interest in binary options. The digital currency has a wickedly volatile exchange rate making it perfect for binary trading of all expiries. The popularity, and notoriety, of the currency also makes it a prime target of potential scams and the like, so be aware and only trade with trusted brokers such as the ones we list here on binaryoptions.

To begin trading Bitcoin binary options you should have at least a marginal understanding of what they are.

Basically, Bitcoins are digitally created currency units that can be spent anywhere Bitcoins are accepted. They are meant to be a free and easy system for international trade that is not reliant on central banks or charges outrageous fees. As coins are mined they become available for sale, trade or exchange.

Bitcoins are now used to exchange currencies around the world and for international trade but have yet to be embraced by the world powers. A few years ago, the number of brokers offering Bitcoin as an asset to trade was very low. Now, the opposite is true. Several brokers now offer trading on Bitcoin and also some of the lesser-known crypto currencies such as Ethereum or LiteCoin.

So traders now have a range of choices when it comes to finding a broker that offers cryptocurrency trading. If your current broker does not offer it, consider moving. This is where security and transparency are crucial — these wallets hold your virtual currency, so you are absolutely reliant on them. Sensing a new opportunity with Bitcoin and binary options, some innovative brokers have come up with ways to trade binary options and Bitcoin together.

There are essentially 2 ways to trade Bitcoin binary options. The first method is by using Bitcoin as a medium of Exchange. The second method is by using Bitcoin as an underlying asset. When it comes to using Bitcoin as a medium of exchange, traders will be trading the various underlying assets in financial markets with Bitcoin.

So if their trade is successful, they will be paid in Bitcoin instead of fiat currencies like the U. S dollar or Euro. You might be wondering why anyone would just want to accept Bitcoin when getting paid in U. S dollar as always been fine before. The first benefit of transacting in Bitcoin is the fact that the cost of transaction is the lowest among all forms of online payment. This is the very reason why Bitcoin was created in the first place, to lower the cost of online transaction.

Since there is no central authority managing Bitcoin, no service fee is paid when receiving or transmitting payment. Another key reason for traders to use Bitcoin in Binary options trading is to earn extra Bitcoin.

Bitcoin by itself is traded and its value to the U. S dollar varies according to the demand for it. By having all the trading transactions denoted in Bitcoin, a trader is able to shield himself from the fluctuation of this crypto currency while at the same time earn more of it through profits earned in trading.

Nevertheless, it should be noted that this form of trading is however confined to binary brokers who will accept Bitcoin as a medium of exchange.

In other words, there are only a limited number of binary options brokers which fall into this category. Another method of trading Bitcoin with binary options is to regard Bitcoin as an underlying asset. As mentioned earlier, Bitcoin itself is traded on specialized Bitcoin Exchanges. Its exchange rate in relation to the U. S dollar rises and falls in accordance to the demand for it.

For example, during the Cyprus banking crisis in , loss of confidence in Euro led to investors switching their safe haven of wealth from the Euro to Bitcoin. This sudden surge in demand for Bitcoin helped to push its value up to almost on par with the value of gold prices. Because of this volatility, some binary brokers began introducing binary options contracts which tied to the value of Bitcoin. Whether you feel the edge that the trading sites have is unbeatable, or whether insights and knowledge of the markets can help you trade your way to riches — there are still big advantages to using Bitcoin instead of dollars or Euros to trade.

First up, this article looks at how Binary Options trading works and the associated pros and cons. Finally, some of the big advantages of BTC trading are discussed. To begin with it is important to understand how Binary Options Trading works.

This is the same whether you trade in Bitcoin or any other currency. You either win or lose. There are many markets available, and you are betting that the price of a stock, commodity or currency will or will not be above a specific level at a set time in the future. Trades have different durations, ranging from 60 seconds to a week or more.

Here is a simple example based on a stock. This outcome has the same pay-outs. Every time you make a trade in Binary Options, you will be trying to use your knowledge of the markets or individual companies to beat the spread and win some cash. This is not as easy as it seems on the surface, and the sites have a long term edge of up to 7. Having said that many people do trade professionally, making a profit by staying selective or sticking to an area that they understand well.

Many of the earliest exchanges which allowed you to deposit and trade in Bitcoin only include contracts on the price of Bitcoins themselves.

Nowadays, the exchanges which allow you to deposit and bet in BTC have expanded, and offer a huge range of markets including stocks, currencies and commodities. There are 3 steps to get through before you can make your first Bitcoin Binary Options trade. These are all easy enough once you know what the process is.

Home » Guide » Crypto trading. Binary Options are a popular financial product to invest in the financial markets. As Bitcoin becomes a worldwide phenomenon many traders ask and search for the connection between Binary Options and cryptocurrencies.

The new currencies are highly volatile so it can be easy to make your profit with Binary Options. In the following section, I will show you exactly how to trade Bitcoin and other cryptocurrencies on secure platforms and how to deposit and withdraw with Bitcoin.

The advantages of cryptocurrencies are known worldwide. It is a new way to do transactions without a bank. The fees are lower and the transactions are faster. In addition, most cryptocurrencies are very safe and anonymous. These are huge advantages versus the normal fiat money system. So there is a rising demand for using digital currencies. Learn more. Load video. Always unblock YouTube. It is not only possible to trade cryptocurrencies but also to deposit cryptocurrencies with the Binary Options Broker.

To your advantage, there are no hidden fees or costs like with the other payment methods. In addition, it is possible to buy cryptocurrencies with normal payment methods like a credit card. In the following text, I will show you Binary Options Brokers which I tested personally, and where you can deposit with crypto. One advantage of cryptocurrencies is that you can use them anonymously.

The transactions are very fast and there are fewer fees for the broker and the trader. So it is an advantage for both sides. Also, Bitcoin, Dash, and others are very secure and transparent.

You can easily follow your transactions. In the following table, you will see different Binary Options Broker for trading Bitcoin. They accept the deposit of cryptocurrencies and give you a high yield for trading them. With more than 10 years of experience in financial trading, I tested the platforms and created a full review of them.

They are reliable brokers which are well known internationally. At the moment Expert Option is one of the best companies for trading crypto. You can deposit and trade a huge range of crypto assets. In addition, you can buy cryptocurrencies with a normal payment method like a credit card. But there is one disadvantage, Expert Option does not accept EU clients, so EU traders should choose the other broker. There are several brokerages in the market that allow you to trade binary options on cryptocurrencies.

However, finding the right brokerage for your needs from a pile of similar brokerages can be challenging. The go-to brokerage for traders of all skill levels, Pocket Option makes it to the top of the list for several reasons.

It gives traders access to over assets, including cryptocurrencies, stocks, forex, indices, and more. It also gives users access to a demo account where traders can get a feel for the platform or try out trading strategies without spending real capital.

Depositing and withdrawing funds is easy because of the several payment methods offered. The excellent website layout, easy-to-use charts, variety of technical analysis tools, and high payouts make it one of the most popular brokerages globally. It serves 10 million traders across 95 countries. Withdrawing your funds is just as easy as depositing them, and the Pocket Option can be accessed on both Android and iOS devices via the app. But perhaps the best thing about the platform is that the IFMRRC regulates it.

The platform offers over assets across markets. In addition, its extensive rewards program helps traders make extra income. RaceOption regularly hosts giveaways, giving you the chance to win prizes like iPads, computers, and cash. The social trading features can give novice traders a deeper look into the trading style of more experienced traders. While it is considered a reliable platform by traders across the globe, it is not licensed to operate in the USA, which is a slight disadvantage.

But, overall, RaceOption is a secure and respectable platform that any binary options trader will not hesitate to recommend. One of the oldest brokerages in the world of binary options, Binary. com has been operating since It boasts a user-friendly design, and its exhaustive educational section makes it easy to start trading binary options.

With Binary. Demo accounts are free to access, and if you like the platform, you can create an account and trade with real capital. The low minimum deposit, easy payment methods, and excellent regulatory oversight make it hard not to recommend Binary. If you want to withdrawal your profit in cryptocurrencies, this is not a problem.

The Binary Options Broker offers you the same withdrawal methods as the deposit. Through my tests, the companies withdraw the exact amount without any hidden fees. The payments are processed quickly. In the picture below you can see my Bitcoin withdrawal. Now I will show you how to trade Binary Options on cryptocurrencies. It is like the same principle as always. Binary Options Trading is like betting on rising or falling prices. Choose an asset and do a forecast of the future price movement.

The platform will help you with it because you can use free analytical tools like indicators or drawing tools. After you did your forecast you should be able to trade in one direction. Set up the investment amount for your trade. After that, you choose the expiry time of the Binary Option. You can do short-term or long-term trades as you want. Start trading now. The price has to be under or above your entry point to get a high return.

While binary options may seem similar to traditional options, the two bear a minimal resemblance. Binary options have different payout conditions, risk, and fee structures. Additionally, binary options boast unique liquidity structures and investment processes. But perhaps the best thing about binary options is that they are easy to understand:. Binary options are financial instruments that have a set expiration time and date.

These instruments also have an associated strike price. The trader will never incur any further loss. It is also possible for a trader to exit a trade early and lock in their profits if their price-action stipulation is accurate. The deceptively simple trading logic of binaries makes them a highly popular trading method across traders of all skill levels.

Furthermore, these instruments can be traded on most markets, including cryptocurrencies, stocks, commodities, indices, and forex. To make money trading any financial instrument, you must enter the market knowing all of its current trends. You must also have a clear prognosis of the outcomes of these trends. Once you have a good idea of market trends, you will know with greater certainty whether the price of an asset will rise or fall by a specific time.

You can then use binary options to cash in on your insight. Every trader forms opinions and price action proj e ctions based on their experiences in the market. However, no one can look into the future and definitively predict price movements. New traders must rely on the same tools as experienced traders to form opinions.

One of the easiest and most accurate ways to forecast price movements is to look at market forecasts and financial events. Since these are open to interpretation, every trader has unique insight into market activity. The events that affect daily life — current affairs, politics, business developments, technology releases, etc. Learning how to read charts and conduct technical analysis, attending webinars, and monitoring the economic calendar will give you the edge you need to make winning trades.

Learning to pick the right strike price and the expiration time for your binary options contracts can seem tricky — especially for new traders. While the contracts have a simple structure, having a prediction and a strategy in place is critical to reducing the possibility of losing money on trades.

There is an easy way to go about selecting the right strike price. It requires you to consider two factors of the trade: the probability of profit and the risk of loss. You must look for a strike price that gives you the highest chances of making money while keeping the risk of loss to a minimum. To determine the probability of making money, work out the mid-point between the bid and the offer prices. Using a demo account is the best way to learn how to determine the odds of winning and the risk of loss.

Binary contracts can be set to expire in five minutes and can also remain valid for weeks. Shorter contracts typically do not generate large payouts as week-long contracts do.

Binary Options, CFDs, and Forex trading involves high-risk trading. With standard investing, Bitcoin would have to go extinct for you to lose your entire investment. Facebook Twitter WhatsApp Telegram Viber. Once you have a good idea of market trends, you will know with greater certainty whether the price of an asset will rise or fall by a specific time. Once you have decided on how to attack the assets, you then make a deal with the broker you are working with. Essential cookies enable basic functions and are necessary for the proper function of the website. The string is the Bitcoin receiver Id — you will use this to transfer the Bitcoin from your wallet to the site.

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