Make Money Trading Silver Coins Online

Silver is known throughout the world as being an asset that protects its owner from the effects of inflation. Central banks increase the volume of banknotes in circulation year-on-year which causes a gentle rise in prices as the pound becomes worth less and less the more it is printed by the Bank of England.  

Silver, like gold, is a precious metal and functions as a ‘safe haven asset’. This means that when investors are less confident about the global economy or the prospects of ‘risk-on’ assets such as cryptocurrencies or shares, they seek sanctuary in safe haven assets. This leads to an increase in gold and silver demand when economic growth is slowing or a crisis is developing.   

During periods of optimism and strong economic growth, investors tend to switch to riskier assets such as shares or cryptocurrencies. This leads to a fall in demand for safe haven assets and can lead to a decline in silver and gold prices.  

As gold and silver typically perform well when other assets are falling, they are popular choices for investors looking to diversify and preserve their wealth. Given the size of the gold and silver coin market, investors have opportunities to make profits from trading coins. That is, they buy when the price of the silver or gold has fallen and then sell at a profit when prices recover.   

• Unlike buying shares in companies, silver coin investment requires no specialist knowledge.  

• Silver has many industrial uses such as solar panel construction which ensures that its value will never fall to zero unlike a cryptocurrency or speculative penny share.  

• Silver coins are very inexpensive, allowing investors with small budgets to profit from trading them.  

• Silver is an excellent way of protecting your wealth against the impact of inflation. 

• The silver price has consistently shown higher volatility relative to the gold price, meaning the swings are more pronounced which provides ample opportunity to profit from changes in the silver spot price. 

There are many types of silver coins that can be bought online. Purchasing directly from online bullion companies is the safest way to buy as the coins are guaranteed to be genuine. This has the added advantage that prices are linked to the live silver spot price, allowing you to monitor the market and buy after a significant short-term fall has occurred.  

It is best to stagger your silver purchases so that you can benefit should the silver price fall after you have bought. You will not have this option if you buy your full allocation at once. The best coins to buy are silver Britannia’s, silver Maple leaf coins, silver US Eagles and/or Silver Krugerrands which are all made of fine silver and are widely available.  

After buying your silver you will need to monitor the live silver price so that you can sell your coin(s) at a profit. Again, bullion companies offer live prices to sell silver coins with companies such as Auronum displaying live offers to buy your coins on their website. This allows you to see when your coins can be sold instantly for profit.   

• It is important to buy silver coins after the price has fallen rather than after a sharp increase because markets often reverse course after a significant movement.  

• Try not to buy your full allocation of silver all at once. In a falling market you can ‘average down’ by purchasing at lower and lower prices if the market continues lower.  

• Buy a small amount of silver each month, this allows you to track the market average. This is a good strategy for beginners and silver can be accumulated over time and then sold when the silver price rallies. 

• Silver has typically risen at a rapid pace which makes selling at a profit time sensitive. Selling to bullion companies is the best way of ensuring a fast sale as fellow investors may wish to wait for the market to fall again before buying from you. Moreover, bullion companies can buy in bulk which is perfect for investors looking to offload a large collection of silver coins.