When trading cryptocurrencies on the Binance platform, understanding different order types helps optimize trading strategies and manage risks. Here are the common order types explained:

Limit Order

- Definition: Users set their desired buying or selling price and the transaction amount in advance, and the system automatically executes the order when the market price reaches or exceeds the set price.

- Features: It allows precise control over the trading price, avoiding slippage losses, but if the market price does not reach the set price, the order may not be executed. Some exchanges offer validity options such as 'Good Till Cancelled (GTC)', 'Immediate or Cancel (IOC)', and 'Fill or Kill (FOK)'.