Find the lowest prices for the Bitcoin on top Exchange in Finland
Compare exchanges markets, fees, trading volumes, etc
Enjoy the lowest trading fees which usually ranges between 0.1% to 0.2% and trade with over 180 cryptocurrencies. The exchange supports more than 190 countries and even offers a 25% discount on trading fees when using BNB for purchases.
Offering support for multiple payment methods including debit, credit as well as SEPA purchases, the exchange is supported in more than 130 nations. You can trade by paying fees, ranging between 0.4% and 0.1%. Catering to over 2 to 5 billion traders every day, the exchange sure is a popular choice.
With a highly user-friendly interface, Hotbit is one of the easiest exchange to work with. It charges a takers fee of 0.02% and rewards makers for making trades, instead of charging a fee for the same.
What is Crypto Exchange?
A cryptocurrency exchange allows users to convert one crypto for another, exchange fiat currencies into cryptos, and a few other services. In other words, crypto exchanges are mostly used for exchanging one digital asset into another. The conversion takes place as per the market value of each of the assets into consideration.
In general, these exchanges serve two different purposes. One is for usual traders where traders can buy cryptos and sell those for a lower commission fee as compared to the crypto to fiat exchanges. While the other one is for those wanting to make prompt exchanges of cryptos to fiat. Depending on the services, exchanges can allow many options and functions.
Apart from these services, exchanges are also responsible for setting rates of the various cryptocurrencies they support. The rates are for token as well as cryptos. To decide the rates of the cryptos, the exchanges take into account a lot of factors, discussed below:
Worldwide Political and economic Decisions
A decision pertaining to any of the cryptocurrencies can bring a huge difference in its price. For instance, acceptance of Bitcoin for payments in Japan did stir the price of this particular digital coin for good. However, any decision based on the ban of certain digital coins could affect its price adversely.
Volatility Rate of Digital Coins
Every digital coin has its volatility rate associated with it. What does this actually mean? Volatility is the degree of change in the trading price with time. The higher the change of the price for a given period of time, regardless of which direction, the higher the volatility. And, high volatility means high risk. Hence, cryptos with high volatility rate could lose its trust, hence, the trading value.
Let’s take the example of the most popular, Bitcoin. We all know that the digital coin works as open-source code. This means that anyone can check the codes and make changes to the same. If there are new updates released for fixing potential bugs, the price will move upward. On the contrary, if hackers find out a way to hack accounts, the exchange rate would go down.
People’s reaction to the Current News
Human emotion is the most determining factor when it comes to value the crypto price. And, the reaction is a consequence of the current news. For instance, the bad news about the cryptocurrency can bring the prices down and the good news can pump up the emotions and thus demand a particular cryptocurrency, hiking its value too.
Facts About Cryptocurrency Exchanges
Exchanges vary in terms of fee, security, trading volume, crypto rates, and a lot of other factors. With over 1000 exchanges operating worldwide, it is important to verify the platform you trust for trading with your cryptocurrencies. And, an increase in online threats makes it even more crucial to find an exchange with the highest security. Although there are times when popular exchanges are often targeted, the reliable ones will bounce back, ensuring that the same incidence isn’t repeated.
This makes only a handful of such exchanges worthy of our attention. To understand more, find out some of the facts about these exchanges.
Starting a Trade
Interested in trading cryptos? In order to do that, you first need to buy some cryptocurrency. To buy cryptos, you must start an account on the crypto exchange. At first, you will need to transfer some amount of money into your exchange account. For trading, many exchanges do not accept fiat money. In such a case, you must buy some digital currencies through the crypto exchange. You can also do the same using your crypto wallet app. Later, just transfer the cryptos to the address provided by your exchange.
You may also find a few exchanges that accept fiat money. In case of less money to trade, you can even borrow some amount from these exchanges, the ones that offer margin trading. Just remember to check the leverage factor that may affect your profits or losses. Check more Buy Bitcoin.
Price Difference at Different Exchanges
After comparing exchanges, you may realize that prices for cryptos vary at different exchanges. For instance, there could be a slight difference in the value of Bitcoin featured on one exchange when compared with another. So, why is that so?
Because these exchanges work independently and these aren’t connected, they consider the activities happening on their platforms for assessing the value of cryptos. For instance, exchanges consider the trade volume, supply-demand, and various other factors occurring on their specific platforms, without comparing it with their counterparts.
And, these values differ from one exchange to another. Hence, exchanges may or may not reflect different values for the same crypto. Most of all, there isn’t any fair price for digital coins and it mostly depends on the market trends.
Making Profit Using Exchanges’ Price Difference
Did you know that you can actually make some profit with the price difference at exchanges? However, the profit must cover both exchange fees.
For instance, on usual days when there is not much change in the trading volume, the popular exchanges won’t show the considerate difference in the price of bitcoin. There could be one or two percentage of difference. And, this won’t cover the two different exchange fees.
However, when you check the price of bitcoin on these same exchanges during an active trading day, the difference may surge to five percent or more. In such a case, you may try to look for the exchange offering difference in prices that must be around 5 percent. You can buy bitcoin from an exchange with lower rates and sell your cryptos through the exchange with higher rates. Just ensure that the trading fees along with the various other fees implemented by these exchanges don’t exceed the difference in the bitcoin value. Otherwise, it won’t be worth the hard work and research you put in to find the different exchanges.
If you are an expert crypto trader, you would definitely know the profits one can earn through cryptocurrency pairs. But starters may find it difficult to understand how to utilize the same. So, what are cryptocurrency pairs?
In short, using pairs of cryptocurrencies to trade on exchanges helps in making a profit with changing currencies’ rates.
When you wish to trade in crypto pairs, also remember to follow the right order of these pairs. For instance, if according to your calculation, you believe that bitcoin price may rise against USD, your pair must be in the following sequence: BTC/USD. On the other hand, if you anticipate that the bitcoin price may go down against USD, your order sequence must be USD/BTC pair.
BitcoinFinland24 is an educational website offering users an insight into the different crypto exchanges. We do not indulge in any kind of financial consulting pertaining to crypto investments. On the other hand, we can offer some ground rules that could help you stay safe while investing in digital assets. Firstly, you must only invest the amount you can lose. Also, there are no guaranteed profits with crypto trading because of its high volatile nature. This means that the cryptos’ value can drop as well as rise suddenly. So, you must be ready to invest taking every risk into consideration.
**Please note, we receive an affiliate commission for advertising crypto exchanges and Bitcoin wallets. And, use those funds to further strengthen the blockchain industry. Every purchase you make through our suggested links gets us the fixed affiliate commission.