#TradingPairs101
What Every Crypto Trader Needs to Know
1. What’s a Trading Pair?
A trading pair is two assets you can trade directly between, like PEPE/ETH or BTC/USDT. Think of it as a barter system: “I’ll give you this for that.”
2. Base vs. Quote Currency
In PEPE/ETH, PEPE is the base, ETH is the quote.
You’re buying PEPE with ETH, or selling PEPE to get ETH.
🧠 Pro tip: The second token in the pair is what you’re measuring value in.
3. Why Trading Pairs Matter
Not every coin trades directly to your fiat or stablecoin. You might need to go:
More hops = more gas & risk. Choose your pairs wisely.
4. Stable Pairs = Stability (Kinda)
Want to avoid wild price swings? Look for pairs like PEPE/USDC or BTC/USDT. They’re pegged to fiat values, so your trading feels more predictable.
5. Volume & Liquidity in Pairs
Not all pairs are created equal. A PEPE/WETH pair might have tons of volume, while PEPE/SOL could be dead. Always check liquidity before you ape.
6. Arbitrage 101
Prices for the same token may differ across pairs or exchanges. Smart traders arbitrage the gap — buy low on one, sell high on another.
7. DYOR Before Trading
Some sketchy coins launch obscure pairs with no liquidity to trick you. If a pair looks too good to be true, it probably is. Always verify on-chain
