#TradingPairs101
In Binance, trading pairs (also called currency pairs) are combinations of two cryptocurrencies or a cryptocurrency and a fiat currency that can be exchanged with each other on the platform. This means that when you see a pair like BTC/USDT, you can buy Bitcoin (BTC) with Tether (USDT) or sell Bitcoin for Tether.
What are trading pairs in Binance?
They represent the exchange rate:
A trading pair shows the relationship between two assets, indicating how much of one currency you need to buy another.
They facilitate trading:
They allow users to buy and sell cryptocurrencies directly with each other.
Example:
BTC/USDT means you can buy Bitcoin with Tether.
Variety of pairs:
Binance offers a wide variety of pairs, including pairs of cryptocurrencies with cryptocurrencies, cryptocurrencies with fiat currencies (like USD, EUR), and pairs of fiat currencies with each other.
How to choose the right trading pair?
Research:
Evaluate the value of each cryptocurrency and the performance it can offer in relation to the cryptocurrency you want to use.
Consider the fees:
Pay attention to the transaction fees that Binance charges for each trade on each pair.
Check the market:
Some pairs may be more volatile than others, meaning their prices can fluctuate more quickly, which can be advantageous or dangerous depending on your investment strategy.
Examples of trading pairs on Binance:
BTC/USDT: Bitcoin against Tether.
ETH/USDT: Ethereum against Tether.
BNB/BTC: Binance Coin against Bitcoin.
