Bitcoin binary options are a very practical and simple tool to trade and try to get economic results from price changes in the cryptocurrency. In fact, all you need to do is select a market direction to which you think the price will go from a given time onwards. For example, you can trade upwards if you think the price will go up, or downwards if you think the price will go down.
We will explain all the details of trading bitcoin binary options below. Before we begin, let’s highlight the most widely used and known platform that presents such an operational possibility. With IQ Option, you can trade bitcoins with binary options starting at 1 euro and with a free demo that will allow you to practice without depositing.
How To Buy Binary Options On Bitcoin
To purchase binary options on Bitcoin, you must first sign up for a binary options trading platform that allows you to make such a trade. Secondly, once you have made a deposit of your choice, you can start trading.
Binary trades on Bitcoin are done in this way:
- You choose Bitcoin among the financial instruments available on the platform
- An expiry time is selected (it can be a few seconds as well as several hours)
- An amount shall be decided
You buy the High or Low option depending on the market direction in which you expect the price of the Bitcoin to change. To do this, simply click on the “High” or “Low” button.
So buying binary options on Bitcoin is very easy. More difficult, of course, is to understand if the price of the bitcoin will fall or rise in a certain period of time.
Buying Bitcoin Binary Options at IQ Option
The IQ Option platform is the symbol of changing times, especially with regard to crypto currencies. In fact, despite the fact that this platform used to specialize exclusively in binary options, today it offers several operational tools.
For bitcoin trading with IQ Option there are tools called Crypto Trading, which in addition to allowing you to open positions up and down on the price, with automatic closing and pre-sale features.
These are not binary options on Bitcoin, which may come back in the future, but completely new financial instruments. Binary options on IQ Option remain active for all other financial instruments including Forex, stocks, commodities and indices.
Bitcoin On Iq Option, How It Works
The first thing to do to operate on Bitcoin with IQ Option is to choose the BTC from the list of available crypto currencies in the Crypto section, which can be accessed by clicking on the “+” button at the top.
This gives you access to the main view of the IQ Option trading. The real-time chart and the features included in the right column stand out.
On the right side in fact they are well visible the buttons “Buy” and “Sell” to carry out operations to the rise and to the fall.
Always the right column introduces the box in which to select the amount to invest, the automatic closing and that in which to carry out a pre-order.
The automatic closing function of IQ Option allows you to set the percentage shares of profit or loss in order to automatically close a position once you reach one of the two shares. For example, if you set such a close as in the example below, the position will be closed either when it produces 35% profit, or 95% loss. These percentages are calculated on the amount invested in the individual trade. The default setting is +35% and -95%.
Here below we will see in detail the pre-order window. To view it, just click on the dedicated button on the right column of the display. In the case of the example, we order the platform to buy only when the price of the asset (in our case the price of the bitcoin) reaches 10632.77. The default setting sees the “current price”.
Change of position and real-time information
Once you have opened the position, you can change it in some aspects. For example, you can change the automatic closing percentages seen above. To do so, just click on the button in the shape of an arrow at the bottom as shown in the following figure and then click on the button in the shape of a wheel (settings). From there you can easily change the percentage terms of the automatic profit and loss closures.
From the same quadrant, you can view real-time information on the transaction, including commission, purchase time, opening price, current price, the investment made.
Closing the Position
To close a Bitcoin purchase position on IQ Option, simply use the same dial above and select the trade you wish to close. Or, alternatively, you can click directly on the “close all” button that will close all open positions at the same time.
Well in sight, moreover, you will always have the amount of equity available (at the top of the display of the IQ Option platform).
Opinions on Bitcoin Trading via IQ Option
If you want to make an assessment of the features offered by IQ Option for trading on Bitcoin, you may consider some aspects advantageous and others less so.
An advantageous aspect is surely to be able to operate starting from 1 dollar, or better, from the equivalent in euro of 1$. It is possible therefore to carry out really economic operations, without exaggerations. A precious characteristic above all for who wants to make practice without however exposing itself too much.
Another advantage is that of being able to operate through a free demo, without depositing, to the same conditions of the real account. The demo of IQ Option can be activated simply by registering for free.
Other sure advantages are the graphical features. In addition to the real-time chart, there is the possibility to change chart type (e.g. setting the candlestick chart) or apply chart indicators (for technical analysis).
A great advantage is that you can operate in the virtual company of other users, with whom you can communicate via live chat, on the same platform IQ Option.
A disadvantage is the rather wide range of profit lines, which will be shown automatically on the chart, based on the entry price and other parameters of the open position.