#OrderTypes101

Are you starting in cryptocurrency trading? Knowing the types of orders is key. Here I explain the most common ones simply:

Market Order:

What does it do? Buys or sells immediately at the best available price in the market at that moment.

When to use it? When you want to execute the operation NOW, regardless of a small price variation.

Limit Order:

What does it do? You set a specific price at which you want to buy or sell. The order only executes if the market reaches that price (or better).

When to use it? When you want to secure a certain price and are not in a hurry.

Stop-Loss Order:

What does it do? A limit or market order that activates when the price reaches a predetermined level. It is used to limit your losses.

When to use it? To protect your investment. If the price drops to X, it sells automatically so you don’t lose more.

Take-Profit Order:

What does it do? A limit order that activates when the price reaches a predetermined level. It is used to secure your profits.

When to use it? To sell automatically when the price rises to Y and secure your gains.

Remember! Before trading, research well and understand how each type of order works on the platform you use. Knowledge is your best tool in trading!