#TradingPairs101 **#TradingPairs101**
A **trading pair** lets you exchange one asset for another on an exchange. It’s shown as **BASE/QUOTE**, like **BTC/USDT**, meaning you're buying Bitcoin using Tether. If BTC/USDT = 50,000, then 1 BTC costs 50,000 USDT.
There are three main types:
* **Crypto-to-Fiat** (e.g., BTC/USD)
* **Crypto-to-Crypto** (e.g., ETH/BTC)
* **Fiat-to-Fiat** (e.g., EUR/USD in forex)
Understanding pairs helps you trade smarter. Always check for **liquidity** (volume), **fees**, and **spread** before choosing a pair. Prices can vary across exchanges, so compare for better deals. Choosing the right pair impacts profit and strategy.
Trading pairs are the foundation of all market activity—master them to make informed trading decisions.