What is Cryptocurrency CFD Trading?

As a whole, Contract for Differences, popularly called as CFD, is a deal between a seller and a buyer. It carries a condition that the seller or the buyer would pay the price difference between the current value of an asset and the future value of the asset.

Just within the span of five years, the Cryptocurrency trading market has gained momentum and established trust. Moving from $1000 of worth to $19000 in just 12 months, it has flourished. Even then, buying, owning and searching for potential buyers to sell are complicated. People tend to avoid due to its complexity.

Now, here is an opportunity to side-step all these worries.

In Cryptocurrency CFD Trading, you don’t need to actually buy or sell a Cryptocurrency. Just choose whether the value of a Crypto will rise or fall.

Two positions/methods of Trading Cryptocurrency CFD:

• Long: If you choose that a Cryptocurrency’s value will increase, you are in Cryptocurrency CFD Long position.
• Short: If you choose that a Cryptocurrency’s value will decrease, you are in Cryptocurrency CFD Short position.

How is money made through Cryptocurrency CFD Trading?

Profit is acquired through rightly speculating on the price movements of a Cryptocurrency. You don’t have the risk of buying or owning a Cryptocurrency, as you are going to guess the price movement alone. The prime focus is only on the price change of that particular Cryptocurrency during the trade entry and exit.  

You won’t get a physical currency or get to own it, but you would take a guess through market trends and understanding whether the rate of Cryptocurrency would rise or fall.

For those who choose Long position in Cryptocurrency CFD trading:

• Note down the existing value when you get into the contract. (Value Point 1)
• Observe the market.
• If the value of that Crypto increases, note down that value. (Value Point 2)
• Close your CFD contract.
• Withdraw the difference between Value Point 1 and 2
• That difference is your profit.

For those who choose Short position in Cryptocurrency CFD trading:

• Note down the current value when you get into the contract. (Value Point 1)
• Observe the market.
• If the value of that Crypto decreases, note down that value. (Value Point 2)
• Close your CFD contract.
• Withdraw the difference between Value Point 1 and 2
• That difference is your profit.

If your speculation goes wrong and the market goes against your prediction, you will incur loss. Even after that, you will get an option of alleviating the loss by closing the contract anytime.

If it ends up in profit, you will get paid. If it ends up in loss, you will pay the difference.

Key Advantages of Cryptocurrency CFD Trading:

• New yet fast-growing instrument
• Available 24×7, 7 days a week
• Liquidity is promising
• Get an option to choose both positions: short and long
• Easier process and faster execution

What makes MintCFD the best site for Cryptocurrency Trading?

• Zero Brokerage fees
• Choose from a wide variety of Cryptocurrencies across the world
• 100x Leverage: 100x of your deposit amount can be used for trading. With smaller capital, trade larger units.
• Monitoring, Management and Mitigating tools
• Safer to execute orders
• Get to choose the best cryptocurrency pair
• Fundamental analysis of cryptocurrency is made simpler

You can start Cryptocurrency CFD Trading, by opening your free account in just 4 minutes. You are just one click away from joining the best platform for Cryptocurrency CFD trading.