>>47420532No those are "channel points" which you get for just watching the stream. You can use them to redeem whatever the streamer has set up for you to redeem them for. The default things are pretty mundane like "highlighting messages" and such but some people have added redeems for things that can happen on stream or to the streamer or the lulz.
Silvervale, for example, has her channel point redeems set up so you can change her model's hair style or even the outfit. It works really well. Some other streamers have sound alerts that go off and other shit. It's just fun little bologna they can use to entertain themselves or, if used strategically, can be really funny for the whole crowd. Some people find them annoying tho.
Bits are a Twitch currency viewers can buy and then use as a donation method. You can just "cheer" bits or, much like channel redeems, many streamers have bit donation systems set up so that if you donate x number of bits you can get a TTS message read or any number of sound alerts. Many have incorporated these TTS message systems into even the direct cash donations, too. Anyway, you buy bits from Twitch and they charge you (the user) a surcharge to by them, but if you donate 500 bits to a streamer that's $5.00 to the streamer, Twitch takes nothing from your donation to them.