How do I Invest in Bitcoin in NZ? Easy Crypto BTC Essentials

how-to-buy-bitcNew Zealand with 2 Kiwis and ferns and three Bitcoin coins

Investing in cryptocurrency is confusing — at least for the uninitiated. Bitcoin is not like gold or property. If you delete a wallet file or send coins to the wrong address, your Bitcoin is gone forever. Easy Crypto has, therefore, put together an easy to understand guide for anyone asking not just “how do I Invest in Bitcoin in NZ?” But “how do I invest safely?”

How Do I Invest in Bitcoin in NZ Safely?

Investing in Bitcoin is risky. However, there are ways to mitigate risks when investing. One of the easiest ways to do this is to decide how long to invest for.

Cryptocurrency coins in front of trading graph

Hodl or Day Trade?

The term ‘Hodl’ is used in the cryptocurrency community as an abbreviation of ‘Hold.’ A Bitcoin ‘Hodler’ is, therefore, someone who invests in Bitcoin with a view to not selling no matter what future market conditions may manifest.

If you are a Kiwi with no former trading experience, Hodling is likely the best investment strategy for you. Buy Bitcoin. Then wait to see if Bitcoin increases substantially in value.

  • To Hodl, means to buy and hold coins until BTC prices reach a predefined target.
  • When Hodling, it is important not to panic sell coins at the first sign of a market reversal.
  • It is not uncommon for Hodlers to see Bitcoin reach new highs and correct to new lows, without ever capitulating.

An alternative way to invest in Bitcoin is to day trade. This is where investors attempt to buy Bitcoin low and sell high. However, day trading is very high-risk. The cryptocurrency markets move quickly and are unpredictable. It is even reported by some sources, that 80% of day traders lose everything in their first 80-days of trading.

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How Do I Invest in Bitcoin in NZ Safely?

Risks associated with day trading mean that it is preferable for most Kiwis to buy Bitcoin to hold long-term. This way, it is possible to avoid short-term losses.

Hodling Bitcoin is also easy.

  • Buy Bitcoin from a reputable Bitcoin exchange in New Zealand like Easy Crypto.
  • Store Bitcoin you purchase in an app, paper, or hardware wallet. Click here to learn about how to get a crypto wallet.
  • Decide how long to invest for. It is not uncommon for someone who decides to hodl Bitcoin to invest for three, five, or ten years or more.

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Invest in a Diversified Cryptocurrency Portfolio

Another easy and low-risk way to invest in Bitcoin is to invest in a diversified cryptocurrency portfolio. In 2019, it is rare to find anyone invested in a single digital asset. Instead, investors spread risk by investing in top market cap altcoins like Litecoin, Dash, Digibyte, and others.

The benefit of investing in a diversified cryptocurrency portfolio is simple. If Bitcoin is to go to zero, other coins may increase in value. This is why Easy Crypto makes it easy to buy several top digital assets.

one hand holding a cash and another hand holding a bitcoin

Decide When to Cash Out

If investing long-term in Bitcoin, it is important to plan when to exit the market. In 2017, Bitcoin reached $20,000, but fell sharply shortly afterwards. It can, therefore, be argued that it is a good idea to set a target BTC price to cash out at if Bitcoin makes similar gains in the future.

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Buy Bitcoin at Easy Crypto.

To invest in Bitcoin in any capacity, it is first necessary to buy Bitcoin. Easy Crypto makes doing so easy, by allowing registered users to buy Bitcoin in under 2-minutes. Bitcoin can also be delivered via email in a preconfigured secure wallet. To find out more, click here.

Last updated 7th October 2019