Crypto trading involves exchanging different coins or tokens from the crypto sphere among one another or to traditional currencies. When trading occurs, it is always about two assets placed together in a trading order. One of them is sold while another one is bought.
What are crypto pairs? Each crypto pair is made up of a base currency and a quote currency. The base currency is the one you are buying or selling, while the quote currency is the one you are using to make the payment or receive the purchase. For instance, if you trade Bitcoin to Tether, Tether (USDT) will be the base currency, and BTC will be the quote currency.
Crypto pairs allow traders to predict fluctuations in the value of various cryptocurrencies, which could lead to potential profit. By analyzing market trends and using technical analysis tools, traders can make informed decisions on whether to buy or sell a specific crypto pair.
How is Pairs’ Popularity Determined?
Several factors can influence the popularity of trading pairs:
The popularity of a trading pair is determined by market sentiment, investor interest, and trading volume. A trading pair is considered popular if it consistently has high trading volumes and is frequently traded by active traders.
Having sufficient liquidity is a crucial aspect that influences the popularity of trading pairs. It means that there is a sufficient presence of buyers and sellers in the market, ensuring that trades can be executed efficiently and promptly.
The popularity of pairs may be affected by the dominance of certain assets in the market. Bitcoin has historically been the most dominant and widely recognized asset. Therefore, pairs with BTC, such as BTC/USD and BTC/ETH, tend to be popular because of the high demand for Bitcoin.
New cryptos can affect the popularity of trading pairs. If a promising and long-awaited coin is launched, trading pairs that involve it may become popular.
When reputable and frequently used exchanges list a trading pair, it tends to draw in more traders and trading volume.
Most Traded Cryptocurrency
Here is the list of the most traded crypto pairs in 2023:
You can trade these and many other pairs using the WhiteBIT exchange. It offers over 250 pairs and such popular crypto coins as Cardano, Chainlink, Solana coin, and many others. Visit the WhiteBIT blog to learn more about crypto trading and receive educational and practical advice for your successful work with digital assets.