Excitement is building as $RED prepares to start trading on Binance tomorrow, March 3, 2025, at 10:00 UTC. But with restrictions lifting, traders are wondering: will their orders be filled?
To understand how Binance's system works, let's break it down. Binance primarily uses the price of the most recent trade as the market price. But since there are no trades for $RED yet, how does Binance determine the price?
In this case, Binance uses the order book (bid-ask spread) and the highest bid or lowest ask to set the asset price. That's why $RED is currently priced at $0.8 - it's where most bids are concentrated.
1. *Price Priority*: Orders at a better price (higher bid or lower ask) get filled first. If someone places a buy order at $0.8 after another person placed one at $0.6 or $0.4, the $0.8 order will be filled first if a seller appears at or below $0.8.
2. *Time Priority*: If multiple orders are at the same price level, they are filled in the order they were placed. If two buyers both place an order at $0.8, the one placed earlier gets filled first when a seller matches it.
So, what happens when trading starts for $RED
When Binance opens trading, the first orders to be filled will depend on the price of the first sell orders and Binance's price-time priority matching system. Here are a few scenarios:
- If the first sell order is at $0.4, the $0.4 buy orders will be filled first.
- If the first sell order is at $0.6, the $0.6 buy orders will be filled first.
- If the first sell order is at $0.8, the $0.8 buy orders will be filled first.
Key takeaways:
Buy orders at a higher price are filled first because they match the first available sell order.
If multiple orders exist at the same price, the one placed earlier gets filled first (FIFO rule).
Stay tuned for my next post, where I'll share technical analysis on $RED's price movement and prediction. And remember to always do your own research! #DYOR 🔥
