#TradingPairs101 TradingPairs101 In cryptocurrency and stock trading, a trading pair refers to two different assets that can be exchanged directly for each other on an exchange. For example, BTC/ETH means that you can exchange Bitcoin for Ethereum and vice versa. One asset acts as the base currency (the first), while the other acts as the quote currency (the second), showing how much of the quote currency is needed to purchase one unit of the base currency. Understanding trading pairs is crucial for navigating various markets, especially when converting between cryptocurrencies or between cryptocurrency and fiat. Always consider trading fees, price volatility, and liquidity when choosing a pair. A smart choice of pair can significantly impact your profits or losses.