🧠 What is Slippage and how does it steal your money in crypto?
You placed an order at one price but bought at another? Welcome to the world of slippage 😬
📌 Definition:
Slippage is the difference between the expected and actual price of order execution.
💸 Example: wanted to buy 1 $BTC for $100,000, but bought for $100,050. A loss of $50 — and this is not a bug, but a market mechanism.
🔥 Why does Slippage occur?
1️⃣ Low liquidity — the order slips through the order book due to lack of volume.
2️⃣ Sharp volatility — news, liquidations, pumps, dumps — and the price slips away.
3️⃣ Order type — market orders execute immediately at market price, while limit orders may not execute at all.
⚙️ How to protect yourself?
✅ Use limit orders, especially for large amounts.
✅ Split the volume into smaller trades.
✅ Set acceptable slippage (Max Slippage) in the exchange settings.
💼 Conclusion:
Every percent is your capital.
Manage risks, account for fees, and don’t let the market take more than it should.
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