#TradingPairs101

In the world of trading, understanding Trading Pairs is one of the fundamentals that every trader should know. Trading pairs refer to the assets that can be exchanged between one another in the market. For example, in the BTC/USDT pair, Bitcoin (BTC) is traded against Tether (USDT), meaning you are buying or selling Bitcoin using Tether.

Trading pairs are typically divided into two types: cryptocurrency pairs against stablecoins like ETH/USDT, and cryptocurrency pairs against each other like ETH/BTC. Understanding how to price each asset within the pair helps in making more accurate and effective trading decisions.

Choosing the right pair depends on your strategy, available liquidity, and your trading goals. Some pairs enjoy high trading volume and appropriate volatility, making them ideal for day trading. Therefore, before you start, make sure you have a good understanding of the pair you are trading on – as it is the foundation of your market decisions.