🔁 #TradingPairs101 How to Choose the Right Trading Pair — and Why It’s Critical
In cryptocurrency trading, a trading pair is the ratio between the base asset (the one you are buying or selling) and the quote asset (the one in which you measure the value of the transaction). For example, in the pair BTC/USDT, you are buying Bitcoin with the stablecoin USDT.
💰 Personally, I most often trade in pairs with stablecoins (USDT, BUSD) — they are stable, easy to calculate, and allow you to quickly lock in profits or losses. However, there are situations when crypto-crypto pairs (for example, ETH/BTC) are more advantageous — especially during periods when BTC is “sleeping,” and altcoins are rising.
📌 Once, I opened a trade in ETH/BTC instead of ETH/USDT and mistakenly lost profit because BTC started to fall. The conclusion is — always consider how the quote asset changes, not just the one you are buying.
📊 Tip: before choosing a pair, always analyze volatility, liquidity, and the relationship between assets. This can significantly impact the outcome of the trade.
