#TradingPairs101
In the world of digital trading, the concept of "trading pairs" is fundamental to understanding how to buy and sell assets. A trading pair is simply a comparison between two assets, often used to determine the value of a specific asset against another. For example, the BTC/USDT pair means you are trading Bitcoin for Tether (a stablecoin). If you buy this pair, you are buying Bitcoin using Tether, and if you sell it, you are selling Bitcoin to obtain Tether.
There are two main types of trading pairs:
Pairs with stablecoins (such as USDT or USDC), which are useful for reducing volatility and accurately calculating profits.
Pairs with other cryptocurrencies (such as ETH/BTC), used when you want to move from one digital currency to another without reverting to dollars or stablecoins.
Understanding trading pairs helps you make smarter decisions and determine the most suitable strategy to achieve your financial goals.