#OrderTypes101 Market Orders

Market orders are the simplest type of order, allowing traders to buy or sell cryptocurrency at the current market price. Market orders are executed instantly upon placement and are excellent tools for traders looking to seize the moment.

However, by prioritizing speed over price, the actual execution price of a market order may differ from the displayed market price, especially in highly volatile markets. Additionally, during periods of high volatility or low liquidity, there may be fewer buyers or sellers willing to transact at the current market price. As a result, your market order may be filled at a less favorable price, further contributing to potential slippage.

Limit Orders

Limit orders allow traders to set specific price levels at which they want to buy or sell cryptocurrency. Unlike market orders, which are triggered instantly upon placement and prioritize execution speed over price.