Bitcoin Crypto Online Trading - BTCUSD Trading Symbol

Bitcoin cryptocurrency is popularly traded in the online financial markets. Because Bitcoin price is determined and quoted in terms of US Dollars at any one given time. Anyone can then buy or sell Bitcoin either physically in the form of Bitcoins using a Bitcoin wallet or using the more popular method - selling and buying Bitcoins online in the form of contracts.

When it comes to buying and selling Bitcoin cryptocurrency online - a bitcoin trader has to look for an online Bitcoin Broker, the Bitcoin broker will then provide access to trading Bitcoin online. The Bitcoin that will be traded will be traded as a contract; once a trader buys a contract of Bitcoin, the trader will then make a profit or loss depending on the direction that the price of Bitcoin will move in. If a trader buys a contract of Bitcoin and the prices of Bitcoin move up then the trader will have made a profit from the price difference and they can close their buy trade of the Bitcoin contract and book their profits. However, if a trader buys one contract of Bitcoin and the price then moves down then the trader will make a loss once they close their open contract at a lower price.

Bitcoin contracts online are traded the same way as shares or stocks, investors will make money when the value of their shares or stocks moves up and make a loss if the price of their shares or stocks moves down.

Bitcoin Contracts

When it comes to online Bitcoin trading, Bitcoin is traded as a contract; one contract of Bitcoin is made up of 1 unit of Bitcoin - 1 Bitcoin. Therefore, when a trader is trading Bitcoin online - they will be buying or selling a contract that is equal to 1 Bitcoin.

The prices of Bitcoin will be quoted by the online Bitcoin trading broker and a trader can buy or sell Bitcoin contracts at the current quoted price. The current bitcoin price quoted is the prevailing Bitcoin market price.

In online trading Bitcoin is traded represented by the trading format - BTC

Because Bitcoin is quoted against the US Dollar, the trading symbol will be BTCUSD; meaning the price of Bitcoin quoted against the US Dollar.

Price of Bitcoin - Bitcoin Price Quotes

The Price of Bitcoin is quoted as show above using the Bid and Ask Price

• Bid is the price at which you buy
• Sell is the price at which you sell

The trading symbol of Bitcoin is BTCUSD, but in the above example it is written as BTCUSD.

The current price quote of Bitcoin is 5530.990

This means that a bitcoin trader wanting to buy one contract of Bitcoin would buy at the price of 5530.990

Bitcoin is quoted using 3 decimal digits in the case above the last two decimal digits are .990

The last decimal point is used to calculate the profit and losses of trades, the last point is known as a 1 pip or one point.When trading Bitcoin one pip represents a movement of $1

If the price were to move up from $5530.990 to $5531.990 this would represent a price move of one dollar, and because Bitcoin is traded in contracts of 1 unit of Bitcoin, this $1 dollar would be equal to $1 dollar profit.

Because a move from $5530.990 to $5531.990 represents 1000 decimal points moves, this means each decimal point digit represents a profit equivalent to $0.001 per 1 pip (0.001 price move).

Opening a Bitcoin Chart

To open a Bitcoin trading chart, a trader can open this chart from the Bitcoin trading platform, MetaTrader 5 platform from the "File menu as shown below. Then select New Chart option.

Opening Bitcoin Chart on MetaTrader 5

A trader can then choose Bitcoin - BTCUSD, from the "Cryptocurrencies" option shown below after clicking the "New Chart" option.

Opening BTCUSD Chart on MetaTrader 5