CRYPTO-TRADING - UP TO X10 INVESTMENT MULTIPLIER NOW AVAILABLE AT IQ OPTION

The maximum investment multiplier for bitcoin was x5 until now but crypto traders can now trade it with multipliers of x3, x5, or x10. Of course, traders who are more conservative have the option to trade with no leverage (no multiplier). Please note that traders from the European Union (EU) do not have access to leveraged cryptocurrency trading with IQ Option because of certain regulations.
To change the multiplier (or leverage) in the IQ Option trading platform, open the ‘Multiplier’ tab situated on the right side of the screen. With bitcoin you can choose between x3, x5, or x10 leverage. An unleveraged trade can be done by selecting ‘Purchase’.
With IQ Option, the investment multiplier for different cryptocurrency instruments may vary, depending on certain characteristics of the particular crypto, for instance its liquidity. Some cryptos have no investment multiplier (no leverage), while others have up to x3, up to x5, or up to x10 leverage available. At the moment, bitcoin is the only cryptocurrency that can be traded with an investment multiplier of x10. Examples of investment multipliers for different cryptocurrencies are as follows:
Broker | Leverage |
Bitcoin | x10 |
Ethereum | x5 |
Bitcoin Cash | x5 |
Litecoin | x5 |
Ripple | x5 |
Bitcoin Gold | no multiplier |
Zcash | x3 |
THESE ARE A FEW OF THE CRYPTOCURRENCIES OFFERED BY IQ OPTION. TRADERS CAN CHOOSE BETWEEN A GOOD SELECTION OF 13 CRYPTOS!
More About Using Investment Multiplication With IQ Option
So what exactly is IQ Option’s investment multiplier? It is merely the same as leverage or gearing. Let’s use bitcoin’s x10 investment multiplier as an example.
Let’s say bitcoin is trading at $10,000 and a trader/investor with a $1000 trading account decides to open a buy (long) position on bitcoin with $100. With no investment multiplication (no leverage used), this investor would be able to buy 0.01 bitcoin with his $100. A 10% increase in the price of bitcoin would result in a profit of $10 (10% of $100).
*The example calculations in this news article exclude trading costs.
The option of using IQ Option’s investment multiplier, on the other hand, offers the investor two additional ways to approach his bitcoin investment:
- If he would like to maximise his potential gains but still use only $100 of his trading account, he may open a x10 leveraged trade with this $100 which will buy him 0.1 bitcoin (with a value of $1000). Because the notional value of the position is now ten times larger, a 10% increase in the bitcoin price will earn the trader $100.
- If he would like to control the same position size (as in the first example of an unleveraged $100 trade) but use a much smaller portion of the capital in his trading account, he may open a leveraged trade with $10 by using an investment multiplier of x10. In this case, a mere $10 would give him access to an investment with a notional value of $100 and enable him to earn $10 if the bitcoin price rose by 10%. Active traders who often have multiple trades open simultaneously may benefit from the extra flexibility that higher leverage offers.
In the examples above where leverage/investment multiplication is explained, it should be noted that higher leverage increases profit potential but also increases risk. A trader who uses leverage should also understand that a floating loss which may be incurred by a leveraged position will decrease his available account margin which may increase his risk if no provision is made therefore. On the other hand, traders and investors who use leverage wisely can increase their profits considerably.
Note: Your capital is at risk