what is limit order ?#BTCBreaksATH110K

A Limit Order in a Centralized Exchange (CEX) is an order to buy or sell a cryptocurrency at a specific price or better.

How It Works:

Buy Limit Order: You set a price below the current market price. The order will only execute when the market drops to your price.

Sell Limit Order: You set a price above the current market price. The order will only execute when the market rises to your price.

Example:

Current BTC price = $60,000

You place a Buy Limit Order at $58,000 → Your order will stay open until the price drops to $58,000.

You place a Sell Limit Order at $62,000 → Your order will only fill if the price rises to $62,000.

Key Points:

You get better price control.

The trade may not execute if the market never reaches your set price.

It’s useful for patient traders who want to avoid market slippage.