Bitcoin Forum

I am planning on starting selling bitcoins in my country. Everyone around is selling around a particular rate.

Now these people that sell at the normal rate, where do they get their bitcoins from to sell in order to make a profit.

I want to go into selling because I strongly feel it is very profitable and these people will definitely not give out their sources easily.

A possibility is that they are buying from big exchanges that sell bitcoin for 0.5% over the current price and then they sell those bitcoins 3% to 5% over the current price getting some profits and you must also remember that some people will also want to sell their coins and you can offer to buy those coins 3% to 5% lower than the current price.

I think its depending by person, I heard once that some are just doing it on localbitcoins and that is pretty easy.

Very often the reason why they are able to sell at the rates that they are is because they buy in bulk.
As the buyers they can set buy orders at the market price - x%. If those are the most competitive prices (despite being below the market rate) sellers will still sell to them as they're looking to liquidate their BTC.
These buyers now have a large supply of coins which they try to sell on at the market rate + x%.
People then choose to buy from them at their prices because of the amounts/limits involved as well as the amount available.
In short there are numerous factors involved. If you want to make a profit by flipping BTC then you'd need to find the most competitive market rates.

This thing should really be considered first when OP tends to build an exchange site or any other means on which he must search for the most competitive market rates on which he could able to make profits on just selling and buying bitcoin.Buying on bulks would really give you some discounts i guess from the seller and thats the time you could able to add up your desired amount to your coins.

Most of the large of exchangers are buying in bulk.
To you rightly have advised, start with LocalBTC

Thats a profitable business if you are aware with the price of bitcoin. Its very volatile. It can move downward or upward rapidly in just seconds. Thats also depends on what country you are going to do this business. Some country requiring this kind of business to have the owner a license. Also be aware about the laws about this kind of business.

I have a question.

Where is your country?
We can't predict it, where they were finding his bitcoin to opening local seller.

Do you want to start a physical exchange or a local exchange for your country? Anyway if you want to start an exchange then for getting a profit you have to keep some fees for the service of exchange and people will happily pay that fees f they find your service a convenient service for them.

I see two local exchanges in my country sell bitcoins and ask for fee around 0,5%. I think they get profit from that fees.

however, it will be better to buy in bulk, or buy bitcoin in low price, then hold it until there are people who will buy it.

People who selling for cheap or normal they are just those who earned them or won them from gambling.. but I think everyone will sell on the current market price. if you try to sell for higher price you'll not be able to sell. because no one will buy higher than the market rate.

There are many mining companies like Bitfury, Bitmain and etc So they mine huge number of bitcoins and exchangers gets bitcoins from them but to my mind while bitmain already has it's own wallet website they aren't working for exchangers but can't say same about bitfury. Also some exchangers (mostly locals) are simply getting bitcoins from another exchangers and selling it with more higher price.

yes that is a fact  that exchanges have a good amount of money and they can buy bitcoin in bulk. may be he are also using their own exchanges for buying bitcoin or may be using some other exchange for doing so.

exchanges can get a good amount as exchange fee. they may also have invested a good amount in alt coins and may be also getting a good amount from there.

Most of the exchangers they buy it in Bulky/volume, that's why they still give it at the same price. Perhaps the others are come from the charges of every transaction I think. Even if the traders are buying or selling their coins whether bitcoin/altcoin there is always a charge.

do you want to sell bitcoin as exchanges? i think its a good movements that you can do while there is a wide open opportunity that you can get many of people in your country. my advice is beside you selling bitcoin, you can do buying bitcoin from the people in your country so you have one large scale business which is selling and buying bitcoin so you can take profit from each of that.

the big exchangers get their bitcoins from the difference of the amount bitcoin where people exchanges so they can get the amount and can collected it. but i don't know the exactly this as i am not doing that business.

I think they used mining machine or mining rig. that's why they earn bitcoin, and some I think they get it form every transaction of the traders, and lastly but I'm not sure only my thoughts I think they buy bulky/volume.

They must have some capital to buy bitcoin and start an exchangers, you didn't think that bitcoin grow from trees do you? and it's clear but i guess that the exchangers must have bought those bitcoin from someone who owning big amount of bitcoin by making sort of negotiation to reach the fairest deal and could give both a benefits without affecting the market or they just directly buying high amount of bitcoin in the market. there's many method

You definitely need some initial capital if you wish to do that. Most big exchanges do stock up on bitcoin and if selling directly usually have a much higher price than normal exchanges to compensate for the swings in prices. Some could even be buying on spot as you put in the order, they might be automating the process to buy from bitstamp and forwarding you the bitcoins.

Also do note some of them have active traders.

Want to buy large amount of bitcoin at best rates :

biggest bitcoin trading website : (with invite code promotional)

https://www.okcoin.com/?invid=2021275