In the cryptocurrency market, what you are actually buying and selling are not "coins", but trading pairs (Trading Pair).

The choice of trading pairs not only affects the price at which you place orders but also influences your profit and loss logic, the depth of liquidity, and the efficiency of capital allocation.

Today, Sister Mao will take you from 0 to 1, to understand the underlying logic of trading pairs 👇

🧠 What is a trading pair? (Base asset vs Quote asset)

A trading pair refers to the currency you use to buy/sell another currency.

📌 It consists of two parts:

Base Asset: The currency you want to trade, such as BTC

Quote Asset: The currency you use to measure/settle, such as USDT

➡️ For example, BTC/USDT:

You use USDT to buy BTC, 1 BTC = xxx USDT

➡️ For example, ETH/BTC:

You use BTC to buy ETH, 1 ETH = xxx BTC