Trading Bitcoin has become very popular from the last few years, and millions of dollars are being traded every day. Investors can buy and sell Bitcoin on any cryptocurrency exchange. Buying and selling BTC is a straightforward process. Either you can deposit the money in exchange to start trading there, or you can sign up with a regulated cryptocurrency broker to discover the huge variety of Bitcoin trading options.

The exchanges act as a portal between the fiat and crypto world. Crypto exchange is similar to a stock exchange where crypto tokens are traded. There are two types of exchanges – fiat to crypto and crypto to crypto exchanges. Fiat to Crypto exchanges helps in buying cryptocurrencies from fiat money. The best exchanges of such categories are – Kraken and Coinbase. Crypto to crypto exchange helps you in exchanging specific cryptos like Bitcoin, Ethereum, etc.

There are four types of Bitcoin trading – Day trading, Scalping, Swing Trading, and Passive trading. In day trading, traders open and close their position within a single day. This is the best for traders who want to take advantage of short-term opportunities. Swing traders follow the price trends and hold the asset until the market becomes favorable for them. In scalping, there are many intra-day trades on minor price movements. Passive trading is ideal for long term holders.

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