By the end of 2021, Bitcoin turned 12 years old. Within the twelve years, the digital currency has attracted the attention of individuals and companies as a potential investment vehicle. The virtual currency has multiple opportunities for both large- and small-scale traders. Whether you want to work full-time in trading BTC or earn passive income, there are numerous opportunities.
Are you contemplating the tactics you can use to earn money with digital currency? If yes, then this article is for you. We have explored nine smart tactics that you can use to earn income from digital currency. Please stay tuned.
You can work full time and earn massive amounts from BTC trading. The best thing about digital currency is that you can work 24/7 throughout the year. And if you have other responsibilities, don’t worry because you can take advantage of the technologies available to work for you.
If you want to use this tactic, it’s essential to research BTC, decide where to buy it from, buy an e-wallet, and start your journey. Traders can take advantage of BTC price fluctuations to determine whether to buy or sell the digital currency. Suffice to say that buy when the price is low and sell once you see a spike in the digital currency’s value. If you lack time to monitor these trends, it’s essential to use the latest technologies like BitQH to work for you.
You can use multiple styles to trade Bitcoin. The key ones include:
- Hodling: if you lack the time and experience for day trading, Hodling is the best tactic to use. In this style, you keep a long position for digital currency. When using this style, you anticipate that the price of Bitcoin will rise and sell your investment at a higher rate.
- Bitcoin Hedging: if you predict that BTC price may fall, you may open strategic trades to minimize the danger of the current positions. Although there are various ways of hedging your investments, a popular instrument to use is Contract for Difference (CFDs) to hedge your digital currency.
- Trend trading: in a trending market, there is some consistency in a market situation, for example, being low or high for some time. So, you can keep your position open so long as the trend persists.
- Swing trading: you can capitalize on the trading opportunities that come once a trend is over. This is because when a trend comes to an end, the market starts to swing before stabilizing. And as a swing trader, you can either buy or sell Bitcoin for a profit.
- Scalping: through this style, you can profit from small price motions and market gaps. While using this technique, you shouldn’t aim at massive profits but finding small gaps in the market and capitalizing on them. So, the small gains you make from these multiple inefficiencies add up to create a significant amount.
If you aim to invest in Bitcoin, you start by signing up for a crypto wallet and buying the tokens. Your objective is to sell your Bitcoin tokens once their value rises. You can use various tactics to invest in Bitcoin. These including Hodling, long position on BTC, and Short Position on the digital currency.
In BTC Hodling, you buy the digital currency and hold it until the prices go up. Usually, you take a long position if you apply this strategy. Hodling is the best tactic to use when starting your journey in the BTC market, and you want to study the ropes before you start embracing other strategies.
Taking a short position entails selling your Bitcoin, especially during a bubble, and then buying them back when prices have gone down.
There are multiple perks you can enjoy if you invest in BTC. You may gain massive profits when the prices go up. Many individuals have become millionaires as a result of investing in Bitcoin. Also, many governments are viewing digital currency positively, and there is a possibility of mainstreaming it in the future. So, having a share of this alternative vehicle of investment can give you an upper hand as an early adopter.
The procedure of creating digital currencies entails unravelling complex mathematical puzzles. If you succeed, you end up creating a new BTC block to the cryptocurrency network. You can earn massive amounts of money if you’re smart at Bitcoin mining. What you should note, however, is that BTC mining is a sophisticated task that requires special technology. Therefore, you must be ready to invest in the latest tools and shoulder the high power bills.
Ready to dip your toes into BTC mining? You can take the following steps:
- Find a safe BTC wallet: You must possess a BTC wallet before you start the mining process. The wallet enables you to keep, share, and check the balance instantly. Because there are multiple wallets in the market, choose one with the best features to meet your mining expectations. Remember, the wallet keeps your money and ensures that you select the safest one.
- Choose the mining Hardware: For efficiency, Bitcoin mining requires special tools and machines. Avoid using the standard computers and go for specialized machines like ASIC miners. The mining procedure consumes much electricity and requires machines that are efficient and cost-effective to limit power expenses.
- Select mining software: once you’ve your mining hardware, you can go ahead and invest in a superior software that can link you to BTC miner or the blockchain. The type of software you invest in depends on whether you’re doing the mining alone or having a team that you can connect to. If you have a team, connect it through a hash rate.
- Determine a mining tactic: You can either decide to do your BTC mining alone or join a miner team. Currently, BTC mining is a competitive area that requires putting your head together with other miners. Besides, mining through a pool enables you to share expenses with other miners. With a team, you can crack the puzzle quickly and earn money fast. Therefore, if you want to make quick money through mining, it’s advisable to choose a team.
This strategy entails performing simple BTC tasks that can earn you some amount. Some of the popular assignments to accomplish includes watching a video, opening an ad, and completing virtual surveys. So, if you have some spare time, choose a task to accomplish and earn some money. You can get these tasks on various sites that reward users for performing them. And they’ve different rates, so choose the platforms with better rates to enable you to get some reasonable amount.
Approve BTC as a payment method
One of the strategies of earning BTC rewards is to choose the system as a payment technique, especially if you’re a merchant. Besides fast payment, the BTC payment system is secure and cuts across international boundaries.
Instead of leaving your tokens idling in your wallet, you can lend them to various platforms and earn some interest after a short while. If you opt for this strategy, conduct your research and choose platforms that can pay you handsomely. The interest amount you receive will depend on various factors, such as whether your loan is long- or short-term.
Writing about Cryptocurrency
Although BTC is rising as a popular digital currency, many people lack the information to make the right decisions. So, if you possess excellent writing skills and know a lot about BTC, you can write for multiple websites to earn money. You need to craft original content that can attract multiple sharing if you want to attract potential clients. There are multiple things to write about, such as market trends and the latest news about BTC and other virtual currencies.
Some BTC websites have referral programs where you get an award if you refer a client to them. The procedure of referring clients is pretty simple as what’s required is to sign up on the platform, get a referral link, and start earning once you refer a client. Before you decide to join a specific referral platform, Suffice to say that research around to compare rates and choose those that have higher rates.
Like the stock markets, you can earn dividends from your digital currency if you buy and hold them for a specific period. So, if you’re patient, you can buy BTC tokens, hold them for some time, and earn your dividend.
You can earn some amount if you can discover vulnerabilities with a specific BTC platform. Various organizations and software developers tip individuals for discovering such issues. So, look for such tasks at various BTC platforms, including exchanges and P2P markets.
Bitcoin presents multiple opportunities you can take advantage of and start earning. While some strategies are difficult and require some deep knowledge, many ways of earning money through BTC are pretty simple. So even if you’re a beginner, you can still find something to do and get some money. The strategies we have covered here offer you an overview of the tactics you can use in the BTC market. Please choose a strategy as per your needs because each has its downsides and draws.