#TradingPairs101 ๐ฏ Crypto Trading Fundamentals Deep Dive โ Topic #5: #TradingPairs101
Choosing the right trading pair is more than just picking your favorite coin โ itโs a strategic move that can directly impact your profits and risk exposure. ๐
๐ Hereโs what to know:
๐ฑ How do trading pairs work?
Every pair includes a base asset (what youโre buying/selling) and a quote asset (what youโre using to measure value).
Example: In BTC/USDT, BTC is the base, and USDT is the quote.
๐ต Stablecoin vs. Crypto-Denominated Pairs โ Whatโs Your Style?
I personally trade more in stablecoin pairs like USDT or BUSD โ they offer more predictability, especially during volatile swings.
But in bull runs, crypto-to-crypto pairs (like ETH/BTC) can offer better growth opportunities.
โ How to choose the right pair?
Look at liquidity and spread
Choose pairs aligned with your risk appetite
Consider your portfolio goals (e.g., stacking BTC vs locking USD profits)
๐ Real Trade Example:
Trading ADA/BTC during a sideways BTC market helped me accumulate more ADA without worrying about USD value.
But once BTC started surging, I missed out on gains by not holding a USD-pegged pair. Lesson learned!
๐ช Want to earn Binance points?
๐ Share your own tips on choosing trading pairs with the hashtag #TradingPairs101!
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