by Tyler Durden After crashing 30% last week, Bitcoin is now up over 33% in the last few days helped by a surge in demand from India exchanges after the India government ruled Bitcoin as legal in India... Yet another big rebound... this time as India - the world's second most-populous nation rules in favor of regulating Bitcoin...As CoinTelegraph reports, over the past three years, the big three Indian Bitcoin exchanges including Zebpay, Coinsecure and Unocoin operated with self-regulated trading platforms with strict Know Your Customer (KYC) and anti-money laundering systems in place, despite the lack of regulations in the digital currency industry and market.The efforts of the Bitcoin exchanges in India to self-regulate the market allowed the Indian government to reconsider the Bitcoin and digital currency sectors, regardless of the criticisms by several politicians that significantly lack knowledge in cryptocurrency.On March 24, Cointelegraph reported that Kirit Somaiya, a member of parliament of the ruling BJP in India, was harshly criticized for his description of Bitcoin as a Ponzi scheme.

In a letter to the Finance Ministry and the Reserve Bank of India, Somaiya explained that Bitcoin is a pyramid Ponzi-type scheme.However, Somaiya was criticized for his inability to understand the structural and fundamental difference between a Ponzi scheme and Bitcoin.forbes bitcoin futureIn spite of the negative attitude of certain politicians, the Indian government has come to a decision to regulate the market and provide an even playing field for Bitcoin exchanges that have allocated a significant amount of resources to standardize the market and industry.bitcoin mining on old pcBack in April, Mohit Kalra, CEO of Coinsecure, one of the largest Bitcoin exchanges in India, told Cointelegraph in an interview that the Indian government has finally started to take Bitcoin seriously and are considering the possibility of regulating the market.bitcoin cause inflation

“Finally, something positive for the industry.Authorities are now taking this technology seriously.We have been trying to get their attention for years now.I am glad it's all happening at the right time.bitcoin loyalty programAt Coinsecure, we are seeing a massive increase in the number of users and volumes.bitcoin rechner appWe are positive with what will happen in these coming three months.” On June 20, CNBC India announced that the Indian government committee has ruled in favor of regulating Bitcoin and is currently establishing a task force to create various regulatory frameworks with the aim of fully legalizing Bitcoin in the short-term.litecoin exchange indiaPrior to the announcement of the Indian government, Chris Burniske, ARK Invest’s crypto lead, noted that the trading volumes in India have been on the rise.bitcoin upside potential

Burniske previously revealed that the Indian Bitcoin exchange market is responsible for processing around 11 percent of Bitcoin-to-USD trades.If you're familiar with forex, bitcoin offers quite a few compelling trading opportunities that aren't available with traditional forex currencies.ethereum exchange singaporeWe recently analyzed trading data over the past year at Coinsetter to better understand this.bitcoin bbbHere are some of the reasons we believe bitcoin is a more profitable option versus other trading currencies:Bitcoin's increased volatility gives you "free leverage".Higher volatility provides greater variability to make trades around.But to achieve these kinds of profitable price swings with a classic currency pair, you would have to lever your trade up substantially, which costs you interest.Leverage ratios for traditional forex are also limited to 50:1 now, so bitcoin essentially offers traders substantial "leverage" beyond that limit.

We calculated that bitcoin gives you 6.8x to 18.6x the leverage of EURUSD.There are visible arbitrage opportunities.One of the most exciting reasons to trade bitcoin is that the market isn't nearly as efficient as the established markets most traders are used to.The opportunities to arbitrage between exchanges, different currency pairs, etc. are still fairly easy to find.Bitcoin is essentially uncorrelated to other assets.Bitcoin at the very least adds to a trader's portfolio diversification.We compared bitcoin price and trading volatility to EURUSD and found essentially no correlation.There have also been other reports that it's uncorrelated to gold and interest rates (i.e.things you'd expect it to be correlated to).Bitcoin price is highly correlated to demand for bitcoin.Related to our last point, we found that the price of bitcoin was related to the market demand for bitcoin.So if you expect more people to make bitcoin transactions (whether through trades or purchases), history would indicate that you would profit by buying bitcoin long term.

Also, if trading volume is currently low or high versus historical averages, you may profit by taking the corresponding long or short trade.Hope our research helps answer your question.If you're interested, you can read our full article on the topic here: Use Leverage?Bitcoin Trading Volatility Beats Forex: Part 1There are a few things that you'll find trading bitcoin that are not available in other markets.Bitcoin Market CapBitcoin’s market cap currently hovers around $6.5B.This number is calculated by multiplying the number of bitcoins in circulation and the current price of one bitcoin.Although this gives us an idea of what trading strategies to use to trade bitcoin (the market cap is equivalent to that of a small stock), it is not of much importance to bitcoin’s utility.Bitcoin can be useful at any price.This is important to keep in mind: bitcoin’s utility is not fundamentally connected to its price.Which means bitcoin is almost a purely speculative asset - a trader's paradise.Bitcoin Price VolatilityMost of the time, bitcoin hits mainstream news because of its price volatility.

The fact of the matter is that volatility is indeed high but it has been subsiding over time.This is normal as bitcoin grows and more players with big pockets enter the market.LiquidityLiquidity is determined by the amount of bitcoins available for purchase or sale at a specific price.In general, bitcoin is not a very liquid market relatively to forex or equities.ManipulationBig players can move bitcoin price in a given direction with relative ease.Dishonest and unregulated bitcoin brokers can move their price feeds in a direction that would allow them to pocket maximum retail trader losses.The advantages of bitcoin trading24/7: Contrarily to other markets, the bitcoin markets are always open.You can open and close trades at any time of day.Global: Bitcoin is a global currency and so bitcoin can theoretically be traded from anywhere.Volatility: The high volatility of the bitcoin markets means there opportunities to make or lose large sums of money quickly.Leverage: Leveraged bitcoin trading amplifies your wins and losses.Cheap: Bitcoin trading fees are very low or non-existent.Uncorrelated: Bitcoin has not registered significant correlations with any other equity, currency, or commodity.