#TradingPairs101
💱 #TradingPairs101 – Learn to Read Crypto Markets
Confused by BTC/USDT or ETH/BTC? Let’s break it down 👇
1. What Is a Trading Pair?
A trading pair represents two assets you can trade against each other on an exchange.
Example:
BTC/USDT = Bitcoin priced in Tether (a USD-pegged stablecoin).
You're buying BTC, paying in USDT.
2. Base vs. Quote Currency
First asset = Base currency (what you’re buying/selling).
Second asset = Quote currency (what you’re using to price the base).
✅ ETH/BTC = Buying ETH with BTC
✅ SOL/USDC = Buying SOL, priced in USDC
3. Why It Matters
Different pairs = different liquidity, fees, and price exposure.
Some tokens can only be bought using BTC or ETH, not fiat.
4. Types of Pairs
Crypto-to-Fiat: BTC/USD, ETH/EUR
Crypto-to-Stablecoin: BTC/USDT, SOL/DAI
Crypto-to-Crypto: ETH/BTC, DOT/BNB
5. Tips for New Traders
Want price stability? Use stablecoin pairs like ETH/USDT.
Be mindful of slippage on low-liquidity pairs.
Check trading volume and spread before entering a trade.
🧠 Pro Tip: You’re not “buying USDT with BTC” in a BTC/USDT pair—you’re selling BTC for USDT.
