A year and a half ago, the idea of buying the virtual currency bitcoin was laughable. After a rapid rise in value in 2013, the cryptocurrency’s value more than halved by mid-2015.
At its lowest point, one bitcoin was equal to about $230.
But now Bitcoin is at an all-time high, and rising. Within the last month, the price of one bitcoin has climbed from $1,280 to around $1,480.
Given the currency’s covert nature, the average person still may not understand how buying and selling actually works.
Using the app Coinbase, which lets anyone trade bitcoins for a small fee, we decided to find out.
A brief warning: If you’re going to do this, tell your bank you’re about to buy bitcoin. More on that later.
This is what the Coinbase app looks like on an iPhone.
When you first open the app, you’re presented with the latest price of bitcoin and its change within a certain period. You can see in the chart below how wild the latest moves have been.
I happen to be one of the many who have never traded bitcoin before. There’s a certain level of wariness in buying into the cryptocurrency world.