This is the modern era and is completely driven by the technology. There are several areas which are driven through traditional mediums but most of the things are driven by technology nowadays. A lot of things have changed significantly due to the introduction of modern technology and investment and trading options are one among them. Earlier people used to trade in things which were land-based but now, trading can be done over the internet as well. One of the best thing in which people can invest nowadays is bitcoin.
Bitcoin is a crypto currency. Crypto currency relates to the Internet world and this trading could only be done over the internet websites by click here There is no physical existence of the trading and neither the bitcoins have any physical existence nor the bitcoin trading markets. Everything is operated over the internet which makes it highly advanced and also very secure and safe. Apart from these two features, there are a lot more which are associated with the bitcoins and its trading. If you want to unleash and expose yourself to the world of bitcoin trading, you need to know about some important terms related to it.
Some important terms
Bitcoins is a very vast concept and looking at the widespread popularity of bitcoins, you will have to learn a lot before you trade in them. Before you start dealing in bitcoins, it is highly important for you to be acknowledged regarding some important terms which you may need while dealing in the bitcoins. There are a lot of things that you should know but we are going to tell about the crucial ones in the below given points so that you can develop a general understanding regarding the bitcoins and its market trends.
- The order book
If you have estimated what order book is by its name, perhaps you are going to be right. The order book refers to the journal in which all the transactions that are made on the internet-based platform in the bitcoins. It is very necessary to keep the records of every transactions because those could be use in the future for any kind of proof. The purchases are listed under the heading bids because people are bidding to buy and the ones who sell are listed under ask because they’re asking a price for their bitcoins.
- Bitcoin price
Everyone of us talk about the price of the bitcoins but have you ever wondered what actually is the price defined as? Well, let us clarify that price is nothing else but the value of last traded bitcoin in the last 24 hours. For your knowledge, let us also tell you that it is not necessary that the price of bitcoin at each and every bitcoin exchange of this world is going to be same. There could be variation in the prices of different exchanges of bitcoin because the bid and ask at each exchange could be different from the other.
Volume, as the name states, is nothing else but the number of overall bitcoin stated in the given time frame. This time could be the last 24 hours or even more than that as stated by their requirement. The volume is also a very significant indicator of the prices of the bitcoins because in case there is a significant trend, it is going to be accompanied by high trading volumes whereas if the trend is weak, it will be accompanied by low trading volumes.
- The market order
This order is also called as instant order. It is considered to be instant order because you do placed this order and wait for the market to meet your order as soon as possible and also at any possible price. Suppose that you have placed an order for five bitcoins. The market is going to find the cheapest five bitcoins available for sale to complete your order and may get you the bitcoins available at a higher price as well.
The above mentioned are some very important terms related to the bitcoin and its trading. Being familiar with the given terms, we will not lack any important piece of knowledge while trading in the bitcoins at any crypto currency exchange.