$ETH A coin pair involving ETH (Ethereum) refers to a trading pair on a cryptocurrency exchange where ETH is exchanged for another asset. These pairs allow traders to buy or sell Ethereum in relation to another coin or token.
What is a Coin Pair?
A coin pair or trading pair is a market between two cryptocurrencies. It shows how much of one asset (the quote currency) is needed to buy one unit of another (the base currency).
For example:
ETH/USDT means how many USDT (Tether, a stablecoin) are required to buy 1 ETH.
ETH/BTC means how many BTC (Bitcoin) are needed to get 1 ETH.
Popular ETH Coin Pairs
Some of the most traded ETH pairs include:
ETH/USDT – Most popular for stable trading.
ETH/BTC – Common among crypto-to-crypto traders.
ETH/BNB – Popular on Binance.
ETH/USDC – Used by those preferring USD Coin over Tether.
ETH/DAI – Common in DeFi environments.
Use in Trading
ETH trading pairs are essential for:
Price discovery: Helps determine ETH's value in different currencies.
Liquidity: ETH pairs with stablecoins and other cryptos to enable quick trades.
Arbitrage: Traders exploit price differences in ETH across various pairs or exchanges.
Use in DeFi
In decentralized finance (DeFi), ETH pairs power:
Liquidity pools (e.g., ETH/DAI on Uniswap)
Yield farming
Swapping assets via decentralized exchanges (DEXs)