The Bitcoin network continues to expand. Thousands of people join it with each passing day. Even numerous celebrities have decided to invest in cryptocurrency as they can see the potential that it has. Aside from providing them with a chance to make a profit, Bitcoin is also far superior to regular payment methods when it comes to online transactions.
It is efficient, secure, and due to the fact that it is highly decentralized, users void all unnecessary fees. All of these advantages are the reason why so many novice traders decide to invest their money and make a profit with Bitcoin. With that being said, we decided to name a few terms that every Bitcoin trader should know. Without any further ado, let’s check them out.
Volatility is an indicator of how likely a product or a service is to be a subject of a certain change. In Bitcoin’s world, the volatility rate is an indicator of how often this cryptocurrency is subject to changes in value. Bitcoin is a highly volatile cryptocurrency, meaning that its price changes each day and it can fluctuate up to a few thousanddollars in a very short period.
Halvings are events that take place approximately every 4 years. During these events, the circulation of Bitcoins into the network is cut in half. The purpose of halving events is to control the number of Bitcoins that are available and make sure that the market is not overflown or in absence of the cryptocurrency. So far, there have been 3 halving events – 2012, 2016, and 2020. All of them have led to price surges around one year after they ended.
Trading sites are the platforms where traders sell their Bitcoins. Some reputable sites such as Bitqs even offer advanced services that help traders maximize their profits. How? Artificial intelligence analyzes the market and collects all the data about Bitcoin. This data is used to make accurate predictions on how Bitcoin will fluctuate in the future.
Due to the aforementioned volatility rate, it is almost impossible for traders to know when is the best time to sell their Bitcoins and generate the highest possible revenue, but the AI system from sites like the one we mentioned can help them with that problem a lot.
Blockchain is the technology that powers Bitcoin and makes it self-sustainable. Blockchain is actually a log that stores all the data about every Bitcoin transaction ever made. This log is updated by the users every day through a process called mining. Mining requires users to verify transactions and enter them into the blockchain. Each transaction is called a block and the reward for doing this is Bitcoins. After they are earned, they can be sold by using the services of sites like the aforementioned trading platform.
Before you can sell your Bitcoins, you need a place where you can safely store them. E-wallets are the storage facilities for your assets. They can only be accessed by a private key, which is a password that only you (the holder) can know. There are tons of e-wallets available, and you can choose one based on your individual preferences.
The term Satoshi has two meanings. First, Satoshi is the name of Bitcoin’s creator. The funny thing about the name is that it is actually a pseudonym. The real identity of Bitcoin’s creator remains a mystery to this day. Nobody knows what is Satoshi’s age, gender, or nationality. There have been tons of rumours throughout the years and many people have claimed to be Satoshi, but none of this information has ever been confirmed.
The second meaning of this term is connected to a Bitcoin unit. 1 Satoshi is 1/100,000,000 Bitcoins.
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