The month June 2017 has been a crazy month for crypto currencies. The ETH went crazy, going in prize massive as Bitcoin did. If you have been watching Ether for the last few weeks. Then you would have spotted a few really good trading opportunities that would give you a huge profit. So in this blog we are going take a look at Ethereum and Ether. What is Ethereum and why is it getting more popular?
What is Ethereum?
When you look at indices and the main stream news about the Ethereum, you might think that Ethereum is just another alternative crypto currency of Bitcoin. But if you do some more research on Ethereum, you will find out that it is not true. Ethereum is more then just a crypto currency. It is a very big highly advanced innovative platform for programmers and developers. On this platform you can build all kinds of apps such as games, financial app, social networks, basically everything you can imagine off. What makes Ethereum so special is that the platform is build on a decentralize system. Which means that there is no Authority that is holding all the information that is been used to create those apps. This platform was created with the intent that people can build programs that we may or are using every day. So this way there no middle man, and no central server to house that information. Without a central server, there is no main authority to change or shut down these programs without the entire community knowing about it.
Because of this advantage many programmers are hyped to build their apps on Ethereum platform. In order to program apps and run it smootly,you willl need Ether. Ether is like gas for car. Without ether, your app can not function basically. There is only two ways of getting Ether. One is through mining and the other one is through buying ether on the market.So when you see Ethereum price quote on the markets it is really Ether actually. As the platform can’t be bought.
For a better understanding of Ethereum please watch this video of Vitalik Buterin (inventor of Ethereum) below.
How can I start in Trading Ether?
Speculation on the short term
Right now there is a lot of movement in the price of Ether. If you want to take make a profit on all those price movement. There is a option to speculate on the price of Ether. Ethereum coins are very volatile at the moment. As a trader you can take advantage of that. When the price of Ether goes up then you will automatically make a profit. But did you know that you can also make a profit when the price of Ether goes down? Because this happens all the time. You can make money by going short on Ether with a good online broker. This way you can earn a good profit too.
A really good online broker that gives you the opportunity to trade in Ether (CFDs) is Plus500. At Plus500 you can open a practice account for free in a very simple way. You can use this practise account to explore the opportunities in trading Ether. With the Plus500 app, you can invest/trade in Ether (CFDs) with only a few steps. Because of this you can take advantage of all kinds of the price movement of Ether. Click here to try out trading Ether CFDs at Plus500 for free.
* 76.4% of retail CFD accounts lose money
Why is Ethereum getting more and more popular?
One of things that I like about the platform is that it gives you the possibility to create your own crypto currency. But there are many other advantages that Ethereum offers to programmers. That’s why this innovative platform is getting more and more popular. Because it is unique in his own kind. The more and more programmers that are choosing Ethereum to build their apps, the more ether will be needed. As the ether mining takes a long time and you need to know the right knowledge. So I think that on the short term the supply of ether will be smaller then the demand for ether. Which will probably result into a higher price value for Ether. But in all honesty I think that the recent rally of Ether was because of Bitcoin. Bitcoin went crazy in price value this month. Which surely took many other crypto currency including ether into a up trend at a higher speed. Because many investors doesn’t want to miss their chance like they had on Bitcoin. That’s why many jumped in the other alternative crypto currencies.
After taking a look at Ethereum. I am confident that Ethereum can stay for a very long time. I am not sure if the value of Ether will surpass the value of a Bitcoin. Because you can produce ether unlimited while Bitcoin is limited. However if more and more programmers and developers are going to use this platform then the demand for ether will increase. As you all know if the demand is higher then the supply then price will increase. In this case the price of ether will increase as long the demand is higher then the supply. As far as I know that it takes on average a month to mine 5 ether. Right Bitcoin and Ether are trade and invested in high volumes. If you don’t have the stomach for the dailey huge changes in prices then don’t trade but invest for long term. Keep an eye on our website because from now we will keep an track on Bitcoin and Ether.
*76.4% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.