📊 #OrderTypes101 Why does the order type matter?
In crypto trading, the order type is your main tool for risk management. Here’s how I see it:
⚡ Market order — instant buy/sell at the current price. Works well when speed is important, but you don't control the exact price.
🎯 Limit order — you set the buy or sell price yourself. If the market reaches it, the trade will execute. Perfect for thoughtful entries.
🛑 Stop-loss — automatic sell when it falls to a certain price. Protects against significant losses.
💰 Take-profit — closing the trade when the target profit is reached. Locks in the gains.
📌 My favorite — a combination of a limit order with a stop-loss. In one of the trades, I bought an altcoin at the limit, and the market immediately went down. The stop-loss saved me from significant losses.
🧠 Advice for beginners: always set a stop-loss — even in a “reliable” trade. The market doesn’t always go as planned.
