#TradingPairs101

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๐Ÿ” #TradingPairs101 โ€“ What Are Trading Pairs & Why Do They Matter? ๐Ÿ’น

If youโ€™ve ever traded crypto or forex, youโ€™ve probably seen symbols like BTC/USDT, ETH/BTC, or EUR/USD โ€” these are called trading pairs.

๐Ÿ’ก What is a Trading Pair?

A trading pair shows the two assets you are exchanging. It tells you how much of one asset (the quote) you need to buy 1 unit of the other (the base).

โœ… Example: In the BTC/USDT pair:

BTC is the base currency

USDT is the quote currency

If BTC/USDT = 50,000, it means 1 BTC = 50,000 USDT.

๐Ÿ“Š Why It Matters:

๐Ÿ”น It helps you understand pricing

๐Ÿ”น Gives you access to different markets

๐Ÿ”น Allows you to trade without using fiat

๐Ÿ”น Enables better portfolio strategies

Knowing how trading pairs work is essential for making smart, informed trades in both crypto and traditional markets!

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