#OrderTypes101 Understanding Buy & Sell Orders on Binance
Understanding Buy & Sell Orders on Binance
If you're new to trading on Binance, one of the first things you'll need to understand is how to place the right kind of order. Whether you're buying Bitcoin or selling Ethereum, the type of order you choose determines how and when your trade is executed.
Let’s simplify the most common order types in this #OrderTypes101 guide.
---
✅ 1. Market Order – Fastest but Less Control
What it does: Buys or sells immediately at the current market price.
When to use it:
You want your order filled right now.
You're okay with paying a slightly higher or lower price.
Example:
If BTC is trading at $68,000, placing a market buy order will fill instantly at the best available price — even if it's slightly above or below that.
Pros: Fast execution
Cons: Less price control, possible slippage
---
🧾 2. Limit Order – More Control, Less Speed
What it does: Lets you set the exact price at which you want to buy or sell. It only executes if the market hits that price.
When to use it:
You want to buy BTC only if it drops to $65,000, not a cent more.
You’re selling ETH and want to wait until it rises to $4,000.
Pros: Precise price control
Cons: May not fill if the market doesn’t reach your target
---
🔔 3. Stop-Limit Order – Protection with Precision
What it does: Combines a stop and a limit to automate trades when a price is hit.
Stop Price: triggers the order
Limit Price: the price you're willing to accept
When to use it:
You want to cut losses if BTC drops below $60,000
You want to lock in profits if ETH rises above $3,800
Pros: Custom risk control
Cons: Might not fill in fast-moving markets
---
📉 4. OCO (One Cancels the Other) – Two Orders, One Outcome
What it does: Places a limit order and a stop-limit order at the same time. When one executes, the other is automatically canceled.
When to use it:
You want to sell BTC at $70,000, but if it drops below $65,000, sell to cut losses.
Pros: Flexible exit strategy
Cons: Requires more planning
