- January 18, 2018
- Posted by: Michael
- Category: Cryptocurrency trading
With Plus500 anyone can trade Bitcoin as a CFD instrument 24/7 (with the exception of Sundays between 12:00-14:00 GMT). BTC is, however, not the only available cryptocurrency on the Plus500 platform, currency pairs like Ethereum vs Bitcoin, Ethereum vs USD, Litecoin vs USD, Ripple vs USD, IOTA vs USD are also at one’s disposal. Nevertheless, Bitcoin is by far the most popular cryptocurrency choice not only to traders on the Plus500 platform but also on any other trading site. In the following Plus500 Bitcoin review, we are going to go into great details to describe the trading conditions of a highly regarded, respected and recognised company. Find out, how to open a free demo account with Plus500, all fees associated with trading Bitcoin that there are and the biggest leverage on which traders can get their hands-on.
How to open an account at Plus500 for Bitcoin trading
New clients can decide to either create a free demo account where they can test trading Bitcoin or a real account. A demo account does not require any deposit and can be created within a minute. Only an email address and a password are mandatory to complete the process. A practice account is great for people who want to test platform of the broker or try out new strategies. When your goal is, however, finally to conquer the real market with real money on the table, opening a real account is necessary. The real account at Plus500 is possible from an initial investment of $ 100. The following step by step guide will teach you how to open both a real and a demo account.
- 1. First of all, visit the website: https://www.plus500.com/trading/Cryptocurrencies (CFD Service. 80.6% lose money)
- 2. Choose a type of account you want to start with – FREE Demo/Real
- 3. Fill in the required information (Email/password)
- 4. Start trading with imaginary or real funds
Trading Bitcoin on the Plus500 platform
Plus500 has a very clear and intuitive platform. In order to find Bitcoin trading, head to the section “trade” and click in the left menu on the button “Crypto Currencies”. Once you do that a new table with all available cryptos at the Plus500 platform will appear. Bitcoin as the most popular cryptocurrency is featured on the list as the first option. In this table, you can decide to either “Short” CFDs on BTC or to “Buy” it. Remember that with Plus500 you can not only speculate on a growth of Bitcoin but also on a possible downfall (Short position). For more information about the trade, you can double-click the name “Bitcoin” or click on the information icon which is located on the right side of the screen. Here can be viewed the size of the spread, the leverage, the traders’ sentiment and more other useful information.
CFD Service. 80.6% lose money
Why people choose Plus500 over Crypto exchanges
Plus500 is a well-established company with years of experience in the field. It is fully regulated in almost every European, Australian and Asian country. As a regulated company, it is obliged to insure in 100% your capital against a bankruptcy of the company. Plus500 ltd is, however, one of the biggest European CFD provider, that is even listed on the Main Market of the London Stock Exchange, which makes such occasion extremely improbable to occur. Cryptocurrency exchanges are not insured against bankruptcy or against potential loss that can be caused when the exchange is hacked. Let’s summarize pros and cons of trading bitcoin with Plus500 and trading BTC on a crypto exchange.
|Plus500 Ltd||Crypto exchanges|
|Safety||Extremely safe (Regulated, listed on the Main Market of the London Stock Exchange)||Relatively safe|
|Free Demo account||Yes, without a deposit||No|
|Leverage||1:2*||Only on certain exchanges|
|Professional support||Yes, in in 16 languages via online chat and email||No|
|Price decline speculation||Yes||No|
|Fees||Relatively small in comparison to other CFDs providers||Varies from exchange to exchange|
*Leverage 1:2, can change in time, this information is accurate to 04.08.2018
Plus500 Bitcoin review – Leverage & Fees
As you might have read in the table above, Plus500 has leverage 1:2* for Bitcoin trading. Which means that every dollar or pound you invest is worth 5 times more. Some people might be used to leverage up to 1:30 that was in the past offered by Plus500 but later on reduced by the CySEC. This regulatory body stated that the cryptocurrency market is volatilate enought and that the 1:2* leverage is completely sufficient for clients to use. Plus500 has two types of fees. First of all, there is the fee called spread which is basically the difference between the amount you pay for Bitcoin and the amount you receive when you decide to sell it back. The second fee is the overnight fee, that is charged to your account when you stay in a position overnight. Both fees are quite competitive and are not a big problem if the price goes in direction of your choosing (given the volatility of the market). It is, however, recommand to stay in a position at Plus500 for a maximum of hours or days.