During the last few months, the public interest in cryptocurrencies has seen a massive growth. While the price of Bitcoin has nearly tripled over the last year, prices of some other altcoins have grown much higher than bitcoin. The cryptocurrency Ethereum ETH has registered a growth of 1,000 percent, rising from a mere $10 at the beginning of this year to as much as $100 as of now, the market capitalization of DASH grew 750 percent as the price jumped from approximately $12 to the current price of $91.5. On the other hand, the price of Ripple XRP has posted the largest gain among cryptocurrencies this year with an astonishing growth of 3,600 percent. In January, Ripple XRP was valued at just 1 cent, but it is valued at 36 cents as of now.
The recent gains that have been posted by cryptocurrencies can be attributed to the heightened public interest in blockchain technology and their increased trust in a decentralized economy. The prices are also believed to have surged because of financial and political events that have taken place in the recent times and large sums of money flooding the blockchain market. As a result, the forex/CFD broker AvaTrade has added Ethereum, DASH and Ripple to its currency trading list on the platform. The Ireland based broker is the first online forex broker that has launched trading in Ethereum, Dash and Ripple. Litecoin and Bitcoin have been available on the forex broker’s online platform for quite some time now. One lot of DASH, Ethereum and Ripple have 100 DASH and ETH coins, and 10,000 XRP coins, respectively.
Bitcoin CFD trading was launched by AvaTrade in the year 2013. Therefore, the broker’s interest in adding these three cryptocurrencies to its instruments list is not very surprising at all. In fact, Ripple and Ethereum can be termed a the second and third biggest cryptocurrencies, after Bitcoin, in terms of market capitalization. Currently, the market capitalization of Ripple works out to $13.5 billion, higher compared to 216.8 million recorded in August 2016. The market capitalization of Dash is $619.9 million as of now.
About Avatrade
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According to the CEO of AvaTrade Dáire Ferguson, the latest developments in political and financial fields have changed the way the trading world works. He also noted that AvaTrade works hard to make sure that the company stays ahead of the competitors in addition to striving to remain in the game as the leading brokerage as far as forex and CFD trading are concerned. Ferguson also added that AvaTrade is proud because it is the first broker to introduce the three exciting cryptocurrencies to its impressive selection of trading instruments.
AvaTrade was formerly known by the name AvaFX. The company was set up in the year 2006 and it offers an online trading platform for buying and selling more than 200 financial instruments in the CFD space, which includes CFDs on forex, indices, commodities, stocks, cryptocurrencies, and binary options.
AvaTrade has its headquarters located in Dublin, Ireland and has offices operating worldwide in countries such as France, Italy, China, Australia, Mongolia and Japan. In Ireland, the broker operates under the name Ava Trade EU in Ireland, Ava Capital Markets in Australia, Ava Trade Ltd. in the British Virgin Islands, Ava Trade in Japan, Ava Capital Markets Pty and as an Israeli unit.
The Ireland based online forex trading platform provider is not the only broker to offer cryptocurrency pairs for trading to its clients. However, other online platform providers have not yet announced the availability of new pairs for trading purposes. Typically, retail forex brokers offer access to currencies, commodities and indices by way of contracts for difference or CFDs. They are contracts between two parties, the buyers and sellers. The agreement stipulates that each party will pay the difference between an asset’s current value and its price at the contract expiry time depending upon whether the trade ends in profit or loss.
Currently, the brokers that offer Bitcoin/fiat pairs include FBS and eToro. They added them as the media coverage on Bitcoin spiked last during 2013 and 2014. Now, the cryptocurrencies are more mature and are being covered by the mainstream now. As a result, there is a great demand for these instruments. It is expected that other companies will soon follow the footsteps of AvaTrade and introduce more cryptocurrency trading options.