In this document we will explain in depth how to buy bitcoin and how you can trade other cryptocurrencies with that bitcoin.
There are multiple ways to store your bitcoin. This can either be through the official wallet, an hardware wallet or an online exchange. Since we want also trade that bitcoin in other cryptocurrencies, we need to deposit our bitcoin on an exchange.
NOTE: Exchanges are not safe and can be hacked! We are not be responsible for any losses. If you decide to invest long term instead of trading, I strongly recommend saving your bitcoin in a wallet.
Alright let’s start with buying our first bitcoin
Bwfore we buy bitcoin we need an exchange to deposit our it. Personally we are registered at four exchanges. Why?
The reason for this is that not every trading pair will be available on one exchange. On most you can buy bitcoin, but if you are also eager to invest in other coins you most likely need other exchanges. Therefore, if you are interested in a certain trading pair, you will have to look on which exchange this pair will be traded.
For the purpose of this document, we will our my bittrex.com account to demonstrate the steps to exchange bitcoins in other cryptocurrencies. In case you are interested to see the exchange steps on another exchange let us know in the comment section.
Here are the exchanges we personally use and furthermore some we recommend.
Exchanges we use:
Other exchanges we recommend:
- Coinbase Pro (you will have an account when you exchange money to bitcoin on coinbase)
1. Create an account on an exchange
Create an account bittrex.com and login. The first thing we have to do is find our wallet on the exchange. By clicking on Wallets you will find the wallets of all the coins available on Bittrex. As we know deposit is for depositing money and withdrawal for withdrawing your money.
The same works for the wallets. To send any amount of bitcoins TO the exchange you use the + sign and to pay out your bitcoin FROM your account, you will use the – sign. Make sure you find the right pair.
2. Create a wallet
When we have found our bitcoin wallet on the exchange we simply press + and we will see the screen below.
If it is your first time trying to deposit something on the exchange, make sure you generate a bitcoin address.
As you can see my bitcoin deposit address is:
NOTE: Make sure you send the right coin to the address. For example, sending Ethereum to this address will result in your funds being lost.
Nowe we can start to buy bitcoin.
3. Exchange a currency into Bitcoin
Alright, all set up. Now we need to exchange our current currency into bitcoins. There are several places to buy bitcoins like www.satos.nl, www.btcdirect.eu, www.bitrush.nl but I am using www.bitonic.nl to buy my bitcoins.
The most trusted exchange in our opinion is coinbase. When you use our affiliate-link and buy more than 90 euros you additionally get another 9 euro with our link. For coinbase you need a registration process, which you do not need for bitonic.
Going forward with bitonic
Once we are on bitonic just simply fill in the amount of bitcoin you would like to receive or the amount of euros you like to spend.
As you can see I filled in my bittrex deposit wallet address (165k3cWRfaujAkyXuy1Szr8Re72iPdDDdc). Do the same but for your own deposit address. Proceed to checkout and pay. Congratulation you bought your first bitcoin.
Note: This process can take a while ( up to 30min – 2hours )
Further information about coinbase and how to buy bitcoin
Which private information do I require for coinbase?
The enrollment on the stage isn’t yet the confirmation.
Regularly it is adequate to give your name and a working email address. Perusing and tolerating the terms and conditions is additionally part of it.
The task of a secret key is the primary insurance of your record. Pick a protected secret key here (as on some other page) and guard it.
All things considered, the login is the same than on different sites or online shops.
For the vast majority, the alternative “Private Account” will apply. This is the thing that we will expect in these guidelines.
Typically you will get an email with either a connection or a code for actuation.
There are various techniques for confirmation. We clarify them in the bit by bit directions of the stage.
Have your telephone number, your ID card and conceivably a camera (on your cell phone or webcam) prepared.
What is there to consider?
The stages gain their cash with expenses that are shown in the request.
Be that as it may, they likewise acquire by selling Bitcoin and Altcoins at a greater expense than the one they paid themselves available.
This is known as the sell and purchase cost. The contrast between the two qualities is known as the spread.
This just way to you that there are various costs for purchasing and selling Bitcoin.
You can see that the Bitcoin cost is as of now at 10.000 EUR.
You can discover this data for instance on CoinMarketCap. The cost showed there is determined from the normal all things considered.
You can purchase on a chose stage for 10.150 EUR. You can just sell for 9.850 EUR. This has any kind of effect or spread of 300 EUR.
Why would that be? The cost ought to be 10.000 EUR.
This methodology can be contrasted with the edge that a dealer adds to the price tag of his items to make a benefit.
The value contrasts empower the broker, for this situation the stage, to make a benefit. You can’t, in a manner of speaking, purchase Bitcoins at the “real” price tag.
Be that as it may, taking a gander at the spread is as of now an issue for exchanging.
In my model I will disregard the spread. With respect to the underlying applications and a drawn out speculation, you don’t have to stress over the deviation for the present.
Congratulations, you now have your purchased bitcoin in the bittrex wallet. From here on you can decide to buy any coin you like (which are available on bittrex) and do your first trade!
So lets say, you bought 0.3 Bitcoin (BTC) and now you want to buy some Siacoin (SC) because you did some research and liked the project behind it. Note: This is just for educational purposes and we do not recommend to buy Siacoin. To find the right trading pair you want to trade you will have to do the following steps:
- 1. Search for the BTC markets
- 2. Search for the pair you are looking for
- 3. Click on the trading pair to go to the market
Now you are successfully at the Siacoin market. Here you can buy and sell your Siacoin and take a look at the order book, market depth and the graph. Simply fill in the amount of Siacoin. you want to buy, for which price and press the button; Buy Siacoin. You have now successfully placed a buy order for Siacoin.
This is just a quick guide on how to buy bitcoin and how to buy another coin with that bitcoin. There will be more guides following.
For now, good luck. If there are any questions don’t hesitate to ask. R.