Trading Cryptocurrencies

Question 1

what are the 3 main characteristics of bitcoin?

Answer 1

• it’s completely digital
• it’s decentralized
• it’s an asset similar to trading gold

Question 2

what does bitcoin being decentralised mean?

Answer 2

it’s unaffected by interest rate cuts or quantitative easing

Question 3

what is the principle equation for bitcoin prices which makes it similar to gold?

Answer 3

limited supply + growing demand = increasing price

Question 4

what do bitcoin and gold have in common?

Answer 4

investors consider both assets safe havens