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Bitcoin GBP and EUR much higher margin than USD

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I just looked at the difference in margin requirements and was astonished at the difference between opening a long position in Bitcoin in USD which had a much lower margin requirement than GBP and EUR. Now the reason why one may wish to open a Bitcoin position in GBP is all to do with currency risk. However, I understand from the perspective of IG the USD price is of most importance for Bitcoin as I assume the GBP and EUR are pegged to it in someway or at least to the USD. 

 

This is another example of pure frustration as the price is heading towards $10,000.00.

 

It is why I have been investing in XBT Tracker One Bitcoin in EUR and SEK (Swedish Krona) via Hargreaves Lansdown. They just simply track the price of Bitcoin albeit with a little bit of currency risk as in EUR and SEK. I have invested in both. I considered the Bitcoin Investment Trust but due to the premium it was trading at the time and NAV was far higher than the price of the Bitcoin the trust actually held put me off. 

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Trendfollower, the bitcoin trackers that you refer to, are they HL products? And only available via HL? I am with barclays stockbrokers and they dont appear to offer access to any cryptocurrency related fund/etf/etc. May open acc with HL. Do you know uf the HL btc tracker is isa eligible?

 

Thanks

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Savvyscot, no the Bitcoin trackers are not HL products. They offer them via their online platform. XBT Provider are a CoinShare company. I include the link below.

 

https://xbtprovider.com

 

I am afraid the EUR and SEK versions which HL offer are not ISA eligible.

 

I have invested in both the EUR and SEK versions and am 70%+ up on both without taking today's gain into account where Bitcoin at time of writing has just hit $13100+

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Thanks for the info. I had the bright idea of opening up a lifetime isa and investing in btc and eth trackers, amongst others. HL advised not isa eligible so will hold them in a standard sharedealing acc (once price is right). 70% is a great return, although id have expected greater given what btc has been doing. Guess it depends on when you went into the tracker. A tracker beats buying the real thing and facing issues of wallets, security etc.

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I think it was only a month ago or so. I think I will have doubled my money in a month as Bitcoin as just hit $14,000+ overnight. I bought the tracker at around $7,500.00. 

 

Prior to this I was trading Bitcoin on IG but was not satisfied with the service on offer. I could simply not trade when I wanted to trade which added risk to my strategy. I therefore just went long with a tracker position. I would have made far more money on IG trading simply due to the leverage but I was not going to increase my risk in Bitcoin which in itself is extremely risky. 

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Yep trading here is indeed risky. Tried to open long positions last night as price was rocketing to neutralise my running losses...but couldnt go long until price had reached very high levels...by which time id lost alot more cash already. Still feeding my shorts....hoping for a sharp decline sooner rather than later.

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Hope is a very dangerous ingredient when it comes to trading or investing. Especially something like Bitcoin.

 

Looks at the facts albeit historical, charts, even try and predict future trends based on historical price action (does not always work) but do not use hope. It is hope in this arena which kills the gladiatorial investor / trader. 

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