Choosing the correct trading pair is like picking the right tool for a job – use the wrong one, and even the best strategy can fail. Here's a simple framework to make the right choice every time.
Step 1: Define Your Goal
Are you buying Bitcoin because you think it will hit $150,000? Use BTC/USDT. This pair tracks Bitcoin's dollar value directly. When Bitcoin reaches your target, you know exactly how much profit you've made.
Are you betting that Ethereum will outperform Bitcoin specifically? Then use ETH/BTC.
But remember: even if Ethereum doubles, you could lose money if Bitcoin triples.
Step 2: Start with Stablecoin Pairs
New traders should focus on pairs like BTC/USDT, ETH/USDT, or ADA/USDT. These eliminate confusion because your profits are calculated in stable dollar terms. If you buy ETH at $2,500 and sell at $3,500, you made $1000 per coin – simple math.
Step 3: Check Trading Volume
Always verify the 24-hour trading volume before entering any position. Pairs with less than $1 million daily volume can be difficult to exit quickly. Stick to popular pairs like BTC/USDT or ETH/USDT for reliable liquidity.
