#TradingPairs101
In trading, a trading pair refers to two different types of assets that can be traded for each other on an exchange. It shows the relative value of one asset against another.
🔄 What is a Trading Pair?
A trading pair allows you to buy one asset using another. For example:
BTC/USDT: You are trading Bitcoin (BTC) against Tether (USDT).
Buying BTC/USDT means you are spending USDT to buy BTC.
Selling BTC/USDT means you are selling BTC to receive USDT.
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✅ Common Trading Pair Types
1. Crypto-to-Stablecoin:
Examples: BTC/USDT, ETH/BUSD
Most popular for price stability and easy conversion.
2. Crypto-to-Crypto:
Used when switching between two cryptocurrencies.
3. Fiat-to-Crypto (on fiat-supported exchanges):
Examples: BTC/USD, ETH/EUR
Allows direct purchase of crypto with fiat money.
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📊 Example Explained:
Let’s say the pair is ETH/USDT = 3,500
This means:
1 ETH = 3,500 USDT
You need 3,500 USDT to buy 1 ETH
Or if you sell 1 ETH, you’ll get 3,500 USDT
