Feb 27, 2019 19:30 UTC
Mar 1, 2019 at 22:07 UTC
How Much Does It Cost To Buy One Bitcoin?
If you are a new investor raring to make a foray into the cryptocurrency trading space, you are probably wondering how much it costs to buy one Bitcoin. Well, if you are, we are here to break it down for you so that you know exactly how much you must shell out to get your hands on one unit of the pioneering cryptocurrency.
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How To Check Bitcoin Price?
Now, like most other investable assets, Bitcoin also has a flexible pricing that is based on a number of market factors, most importantly, demand and supply.
While Bitcoin’s supply is dependent upon factors such as its total supply cap (21 million), mining difficulty (determines how frequently blocks can be mined by the Bitcoin miners) etc., its demand is dependent upon factors like trader interest, the health of the overall market, media coverage etc.
All these factors come together to influence what becomes the Bitcoin price. The price of Bitcoin also derives from its valuation, which can be ascertained by either applying the quantity theory of money to it or comparing with national currencies, among other methods.
Now, how do you find out the price of Bitcoin? A simple Google search at any given point of time will tell you exactly what the price of a single unit of Bitcoin is.
However, if you want to track movements and shifts in the price over a period of time and also be able to view important statistics relevant to Bitcoin trading, you should be checking out a crypto statistics website such as Coinmarketcap or Coinmama.
On these sites, you will get detailed information about the circulating supply, price, rise or fall, market cap etc., of Bitcoin and all other cryptocurrencies.
You May Also Read: What Was The Highest Price of Bitcoin in History?
How Much Does it Cost To Buy One Bitcoin?
To buy one Bitcoin, you would think you have to pay just what its worth on a given day but no, it is really not that simple.
You can buy Bitcoins from a number of sources, cryptocurrency exchanges, local sellers on peer-to-peer platforms or even Bitcoin ATMs. In all these options, you have to pay a certain trading fee to the exchange or the ATM for having facilitated your purchase.
A cryptocurrency exchange is one of the most common medium via which an investor would buy a Bitcoin.
Bear in mind that the trading fees vary from one exchange to the other, from one fee structure to another and also from one level of investor to another.
If you are a very frequent investor who trades on an exchange often, your rate will be different from that of a newbie who is just starting out.
To understand the standard rate, we will take the example of Coinbase. Although the fees usually go up to around 3.99%, we will consider the lowest fee, which comes to around 1.49% for US citizens paying via their bank account.
At the time of writing, the price of Bitcoin on Coinmarketcap.com is $3,861.19. With the trading fee added, the cost would effectively come to $3,918.721731, which is ultimately what you pay in this scenario.
Of course, both the prices and trading fees will vary, depending on the time, the exchange being used and other factors too.
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