#TradingPairs101

What are trading pairs?

Trading pairs represent the relationship between two currencies being traded against each other. In the cryptocurrency market, pairs are expressed in a format like BTC/USDT, where:

• Base Currency: is the first currency in the pair (for example, BTC).

• Quote Currency: is the second currency in the pair (for example, USDT).

This pair indicates how much of the quote currency (USDT) is needed to purchase one unit of the base currency (BTC).

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📈 Types of trading pairs

1. Major Pairs: include the most traded currencies like BTC/USDT or ETH/USDT.

2. Minor Pairs: include less popular currencies like LTC/ETH.

3. Exotic Pairs: include new or low liquidity cryptocurrencies.