Determining Current Bitcoin Conversion Rates: A Simple Guide
Are you wondering how to convert Bitcoin into cash? The world’s first cryptocurrency, Bitcoin, is decentralized and unregulated. As such, its value against physical currencies like the US dollar (USD) or euro is highly volatile and fluctuates constantly.
How can you find out the current Bitcoin conversion rates for different currencies? What drives the value of Bitcoin against other currencies? Read on to find out.
How to Find Bitcoin Conversion Rates
You can find the Bitcoin-to-dollar conversion rate on cryptocurrency sites like Coindesk and CoinMarketCap, as well as cryptocurrency exchanges like Binance and Coinbase. You can also find the current exchange rate on search engines like Google.
A cryptocurrency calculator allows you to check the Bitcoin conversion rate in not only USD but also to the euro, British pound (GBP), Indian rupee (INR), and a range of other currencies.
What Determines Bitcoin Exchange Rates?
The value of national currencies fluctuates depending on economic factors such as international trade, interest rates, and reserve requirements. Central banks can use policy to influence exchange rates in ways that help a nation’s economy.
As a decentralized digital currency, the value of Bitcoin depends on demand from the market, as well as the supply available on digital marketplaces. It also depends on the cost of production, the level of rewards given to miners, and market sentiment.
When miners process transactions, they create new bitcoins as rewards. The rate of reward has been designed to decline over time. Bitcoin supply is capped at 21 million coins, at which point there will be no more coins mined.
The extreme market volatility has seen the price of Bitcoin in US dollars trade as low as under $0.01 and as high as $64,000.
Check the exchange rate for your desired currency online on a regular basis so that you know when it is trading at a favorable rate.
How to Convert Bitcoin Into Cash
As with physical currencies, you can trade fluctuations in the value of cryptocurrency pairs to make a profit. For example, you can trade on the Bitcoin conversion rate in GBP or the conversion rate for Bitcoin to INR.
If you hold Bitcoin and want to convert it into a physical currency, there are a few ways you can do this.
You can sell your Bitcoin on a cryptocurrency exchange for US dollars or any other currency. You can also use a peer-to-peer platform or a broker exchange to sell your Bitcoin. Alternatively, you can withdraw the funds from a Bitcoin ATM. Click here to learn more.
Keep Track of Bitcoin Exchange Rates for the Best Returns
As you can see, it’s a simple process to find the latest Bitcoin conversion rates and exchange your Bitcoin for cash. If you stay up to date with the exchange rate, you can make the most profit from your Bitcoin investments.
For more tips on managing your money, check out the finance section on the blog.