- Trading cryptocurrency CFDs incorporates the typical CFD features such as being able to open short or long positions with small amounts that can be leveraged
- However, they are also limited to be traded during the typical times that CFD trading occurs
There are two main ways that traders and investors can gain exposure to cryptocurrencies. The is by either a direct cryptocurrency purchase or a cryptocurrency CFD trade.
CFDs, which stand for Contracts for Difference, are financial derivatives that let investors and traders trade all sorts of securities and assets without holding the said asset. They are popular among those who don’t want to deal with the technical process that comes with directly buying cryptocurrencies but still want to capitalize on the movements of the prices.
Trading cryptocurrency CFDs incorporates the typical CFD features such as traders being able to open short or long positions with small amounts that can be leveraged. However, they are also limited to be traded during the typical times that CFD trading occurs. This means that opening or closing positions over the weekend are unable to be processed. Because the physical cryptocurrency market is open 24/7, if you leave a position open over the weekend, you will be unable to close it if the market moves against or with you during this time.
