#TradingPairs101 – Understand trading pairs in crypto correctly to avoid getting "lost"! 🤯💱

If you are new to the world of crypto, you have probably wondered:

"What is BTC/USDT?" – "Why not buy coins directly but choose a pair instead?"

➡️ Everything lies in the concept of trading pairs.

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📌 1. What is a trading pair?

A trading pair represents the exchange of currency A for currency B.

For example:

• BTC/USDT means you are buying BTC with USDT, or selling BTC for USDT.

• ETH/BTC means buying ETH with BTC, not related to USDT or USD.

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💡 2. Base Asset vs Quote Asset

• The first currency is the base asset.

• The second currency is the quote asset.

➡️ For example, BTC/USDT = 68,000 → 1 BTC = 68,000 USDT

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🧭 3. Why is it important to understand the pair?

• Avoid confusion in trading direction.

• Know what type of asset you hold (BTC, ETH, USDT, etc.)

• Know which pair to choose that has high liquidity, low fees, and narrow spreads.

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📊 4. Tips for choosing a suitable trading pair:

✅ Use stablecoins (USDT, USDC) if you want to measure profits in USD.

✅ Use crypto-crypto pairs (ETH/BTC…) if you want to accumulate BTC or ETH.

✅ Prioritize pairs with high volume → easy to enter/exit orders, less slippage.

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🎯 Conclusion:

Understanding trading pairs is fundamental to avoid confusion when placing orders and to manage your assets more effectively in the crypto market.