In a trading pair, one cryptocurrency is the "base currency," and the other is the "quote currency."
The price of the base currency is quoted in terms of the quote currency. So, if the BTC/USD pair is trading at $50,000, it means one Bitcoin (BTC) is worth $50,000 in U.S. dollars (USD).
When you believe that the base currency will appreciate in value relative to the quote currency, you go long (buy) the pair.
Crypto exchanges offer a wide range of trading pairs, including major pairs (e.g., BTC/USD, ETH/USD), altcoin pairs (e.g., LTC/BTC, XRP/ETH), and even stablecoin pairs (e.g., USDT/USDC).
Traders use different strategies when trading crypto pairs, including day trading, swing trading, and arbitrage.
Crypto markets are known for their volatility, and this can vary from one pair to another. Some pairs are more stable, while others can experience rapid price swings.
Crypto markets are known for their volatility, and this can vary from one pair to another. Some pairs are more stable, while others can experience rapid price swings.