#TradingPairs101 What Are Trading Pairs & Why They Matter šš”
If you're new to crypto trading, the term ātrading pairā might seem confusingābut itās the key to understanding how assets are exchanged on platforms like Binance. Letās decode it š
š What is a Trading Pair?
A trading pair compares the value of one cryptocurrency to another, allowing you to buy or sell one asset using another. For example, in the BTC/USDT pair, you're trading Bitcoin against Tether (USDT).
āļø Base vs. Quote Currency:
In every pair, the first asset (BTC) is the base currency, and the second (USDT) is the quote currency. So, BTC/USDT shows how much USDT you need to buy 1 BTC.
š§ Why Itās Important:
Helps you find the best route to buy/sell tokens
Lets you track price movements between specific assets
Gives more flexibility if youāre holding stablecoins or altcoins
š” Pro tip: Popular quote currencies include USDT, BUSD, BTC, and ETH. Choose pairs with high liquidity for faster, more efficient trades.
š¬ Whatās your most-traded pair on Binance?