#TradingPairs101

When I first entered the trading world, I thought that all currencies were bought only with dollars. I didn't know that there was something called trading pairs, nor the difference between BTC/USDT and ETH/BTC, for example. After a period of learning and experimenting, I began to understand that choosing the right trading pair has a significant impact on the trade. Sometimes the currency itself is good, but the pair you are trading in may not have enough liquidity or may move strangely.

One of the things I learned is that some pairs are more stable and easier to predict their movement, such as the pairs against USDT, because they are tied to the dollar and their price is clear. As for pairs against currencies like BTC or ETH, their movement is more complex because you are tracking two currencies at the same time, not just one.

I always ask myself before any trade: What pair will give me the best price and execution? Do I need to convert my profits back to dollars or invest them in another asset? Many times I use pairs against BNB or BTC because I don’t want to go back to cash, but rather want to switch between projects. I’ve come to know that choosing the pair depends on my goal for the trade and the state of the market as a whole.

Choosing the pair has become part of my decision-making; I no longer trade just because I see a currency rising. I need to see with which currency I will trade, and how this pair has moved over the past few days. I learned to monitor the volume, liquidity, and spread before I open the trade. This is a big difference from the old days when I would just click buy and that was it.$BTC $ETH