What is spot trading in crypto? how to do in using binance app?
What is Spot Trading in Crypto?
Spot trading in crypto refers to buying and selling cryptocurrencies immediately at the current market price ("spot price"). In spot trading, you directly own the asset you buy, and the transaction is settled "on the spot." Once the trade is executed, the crypto is transferred to your wallet instantly.
How to Do Spot Trading Using the Binance App:
Here’s a step-by-step guide to spot trading on Binance:
1. Open the Binance App
Log in to your Binance account.
Ensure you have funds in your wallet (either fiat or crypto).
2. Go to the Spot Trading Section
On the home screen, tap "Trade."
Select "Spot."
3. Select a Trading Pair
In the search bar, type the trading pair (e.g., BTC/USDT).
Tap the pair you want to trade.
4. Choose an Order Type
You’ll see three main types of orders:
Market Order – Buy or sell immediately at the current market price.
Limit Order – Set a specific price at which you want to buy or sell.
Stop-Limit Order – Set a stop price that triggers a limit order when reached.
5. Enter the Trade Amount
For a Buy Order – Enter how much of the crypto you want to buy.
For a Sell Order – Enter how much of the crypto you want to sell.
6. Confirm the Trade
Tap "Buy" or "Sell."
Once the order is executed, the funds will appear in your wallet.
7. Monitor and Manage Your Trades
Go to "Orders" → "Spot Orders" to track active trades.
You can cancel or adjust any open limit or stop-limit orders.
Spot trading is ideal for straightforward buying and selling without leverage or borrowing.