Profitable eToro Ethereum Trading Explained for Beginners

Profitable eToro Ethereum Trading Explained for Beginners

What is eToro?

eToro is a platform on which people can trade CFDs on Ethereum. The company founded in Tel Aviv, Israel in 2006 by two brothers as a website for social exchange between traders. This however, grew into an idea that they could create a trading website and pair the social aspect. Making it a sort of Facebook for CFD traders.

On the website, you can trade Ethereum CFDs and connect with your favorite traders. You can follow them and their trades! Yes, you can actually copy trades that high earning traders are doing; since all of their trades are posted on their wall. You can comment on a trade, start a discussion and even message traders.

That’s what sets eToro apart from other Ethereum CFD trading websites since eToro has a strong community within it which helps beginners to start trading and helps create a strong network.

What is eToro Ethereum Trading?

eToro Ethereum trading refers to trading Ethereum CFDs. CFD, contracts for difference, simply allow you speculate or ‘bet’ on the future movement of the price of the financial instruments, such as gold or Ethereum, regardless of whether current prices are rising or falling.

CFD trading can be explained as the ‘bet’ in which you speculate that the Ether price will rise.

Now, if the price of Ether increases over the spread you will make a proportional profit however if it decreases, you would make a proportional loss.

However, these platforms don’t have any real-world market access, which means you won’t actually own a bitcoin, you’ll be betting on the possibility that the price rises. That means you can’t technically use a ‘bitcoin’ that you buy on the website for much other than selling it later on.

Whilst writing this article, I started looking into the educational programs that they offer. The company offers live webinars on different subjects that anyone can watch and also e-courses on all the different types of trades available on the website.

So, eToro is pretty helpful in terms of the knowledge that one requires before investing into CFDs.

Is eToro Ethereum Trading actually profitable?

eToro Ethereum trading can be quite profitable in the long run and there are many reasons for that. Firstly, understand that you won’t actually own Ethereum. You’ll be betting on the speculation that the price will rise in the future. Experienced traders are able to bet well, based on macroeconomic environments.

If you were to copy such a trader’s trades, you can make a good profit, depending on your initial investment. Since eToro is a well-knit community, you’ll be able to learn along the way.

Visit eToro Now!

The platform is well designed, and has great features available! Whilst using the website, it’s pretty easy to follow your traders, communicate and learn. eToro has gone out of its way to make sure beginners have a good start trading. This is so that they can slowly start trading on their own speculations.

Since eToro Ethereum CFD trading is pretty tough to understand by learning yourself, the eToro platform makes it easier for you. Hopefully, this guide has been helpful for you in understanding the Ethereum CFD market.



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About Article Author

Michael Serrano
Michael Serrano

Michael is an engineer and a bitcoin evangelist. He has been involved in cryptocurrencies since 2013. His biggest wish? 1 billion users of bitcoin, ether and litecoin by 2020. In the last 10 years he has worked for various early-stage start-up as a back-end developer.

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