In the cryptocurrency market, what you are buying and selling is not 'coins', but trading pairs (Trading Pair).
The choice of trading pair not only affects the price at which you place orders but also impacts the logic of your profit and loss, liquidity depth, and capital allocation efficiency.
Today, Sister Mao will take you from 0 to 1, understanding the underlying logic of trading pairs 👇
🧠 What is a trading pair? (Base Asset vs Quote Asset)
A trading pair refers to what coin you use to buy/sell another coin.
📌 It consists of two parts:
Base Asset: The cryptocurrency you want to trade, such as BTC.