The financial world is in turmoil for what could turn out to be a decision with a big impact, both financially and in the media.
This March 11, 2017, the SEC will decide whether to approve the creation of the Winklevoss ETF Bitcoin, or to call it by its technical name, the Winklevoss Bitcoin ETF Trust.
Awaiting this decision, the price of Bitcoin has even come to exceed that of gold, reaching over $ 1,200 in these days.
With all these changes on the horizon and with Bitcoin that continues unabated in his rise, there are many who look for ways to exploit those that seem to be some very interesting weeks on the cryptocurrency market.
Regardless of the positive or negative outcome of the SEC decision on the Winklevoss ETF Bitcoin, there are ways to follow or even copy what the Top Bitcoin Traders do every day in the markets.
In this post we’ll show you exactly how.
But first, a couple of quick technical information.
What is a Bitcoin?
The Bitcoin is a currency, or rather a cryptocurrency, artificially created through a process called Mining. Bitcoins are not centralized (there is no bitcoin central bank), but they use a distributed database between network nodes for transactions logging, and they work with very complex encryption system for the attribution of bitcoin ownership, essentially for Bitcoin payments or transfers.
You can better understand it with this video series.
What is an ETF?
An ETF stands for Exchange Traded Fund, is a fund created specifically to replicate any particular area, or to have a specific strategy. It is, simply put, a basket of specially selected titles for a purpose. As an example, imagine an ETF consisting of some of the best renewable energy companies. Instead of investing by buying stock in each company individually, you can buy shares of the ETF and do the exact same thing, but in a much faster and more convenient way.
Here is a nice video to better understand how they work.
Why all this fuss for the Winklevoss Bitcoin ETF?
Investing in Bitcon, i.e. buying them with long-term horizons hoping for an appreciation, to date it’s still not very simple.
In fact, the (almost) only option is to open a Bitcoin Wallet, deposit money, and physically buy Bitcoin through platforms.
With a Bitcoin ETF, investors can simply call their broker and tell him to buy it, or do it quickly through the ETF trading platforms they already use.
In addition to this factor, which alone will bring several hundred million dollars in a short time in the Bitcoin market, not to be underestimated it’s also the legitimacy that this event would give to a tool that still has many skeptics in the world.
How to follow or copy the Top Bitcoin Traders
If you want to follow the Top Traders, or even automatically or manually copy their operations, a Social Trading platform is the tool you are looking for.
Social Trading platforms combine, in a single instrument, a trading platform on the one hand, and a social network populated by other traders on the other.
The result is that you can follow precisely all that is being said and shared by the community about each specific instrument (Bitcoins in our case), and be ready to invest (buying or short selling it) when desired.
In addition, many platforms offer Copy trading features.
How does it work?
In short, with Copy Trading you can select one or more traders, and choose to automatically replicate in your account all the operations they will execute on theirs, with the proper proportions based to the size of your account.
Of course, to decide whether and who to copy you can view the profile of any trader with all their performance and statistics, in order to flush out only the real Top Traders.
So, imagine being able to view several traders operating on Bitcoin, and having the possibility to automatically replicate them and follow their moves.
The best solution for doing all this for sure is the eToro platform.
eToro is one of the best Social Trading platform in the world, but above all:
- It allows CFD trading on Bitcoin, so you can speculate with ease on any rise or fall with financial leverage
- It has the largest community of traders in the world, many of which operate on Bitcoins
- It offers a great Copy Trading service, easy to manage, plus explained by us in our eToro Guide
So, if you’re interested in what’s about to happen with the Winklevoss twins and their Winklevoss Bitcoin Trust ETF, signing up for eToro might be a good idea to take advantage of any future movements of the most popular cryptocurrency the world.
This is the actual Bitcoin page in eToro for you to have a look at.
You can also write in the comments below for doubts, questions or considerations.