Importance of limit order in crypto

[Pillsike]

      For those who don't know what limit order is, it is a buy or sell order that executes at the minimum price set by the trader or even better. This allows traders to set a limit price to buy and sell crypto currencies.

       Most of you reading this might probably be thinking " okay that's cool, but why use limit order". Alright let's take this as an example;
A particular stock let's say it's reducing or increasing at an exponential rate and the trader is fearful of the market volatility. A limit order can be applied to give the trader control over the execution price. Limit orders can also be used to pick specific amounts even when the crypto is yet to reach the given mark, limit orders are automated so investors need not worry about watching the market 24/7.
  
    As you've seen a limit order is very important in crypto. For those interested in purchasing a limit order, if you're using binance simply;
(1) log into your binance account, go to TRADE, there you'll see CLASSIC and ADVANCE. click on CLASSIC you can also use ADVANCE but for this example I'll be using CLASSIC.
(2) After you've done that, move to the search bar and enter BNB then choose the BNB you wish to trade. Example; BNB/BTC, BNB/BUSD, BNB/ETH. We'll be using BNB/BUSD for this example.
(3) now scroll down to the SPOTBOX and select LIMIT. set the price and amount you wish to buy then click on BUY BNB to confirm. Once it's complete a confirmation pop-up will appear and your limit order will be placed on the order book
  
     Investors should also bear in mind that limit orders used in crypto usually lasts for 24hours, so it's advisable to always review your open limit orders from time to time to keep up with the ever changing market conditions.
      If you're still interested in reading more on limit orders, click on the link below.

https://coindcx.com/blog/product-tutorials/what-is-a-limit-order-in-crypto/

[Accardo]

Unlike instant buy, limit order is like a watchdog that observes the market price for a trader and executes an order when the price of a coin gets to the limit prepared by the trader.

However, your post on limit order is quite unarranged, try to read other posts in the forum and structure yours like that. Always have space between paragraphs to improve readability. Preview your contents before posting them, it'll help you rethink on a suitable structure for your writing.

Lastly, I think the trading board is cool for this post.

[Saint-loup]

I agree with Accardo about the appearance of your post and its readability, you should try to improve it if you want people to bother to read and to reply to your topics.
Anyway even if Limit orders are important you mustn't neglect or underestimate Market orders, especially Stop Loss orders and Take Profit orders. When the market is volatile it's always smart to have a Take Profit order and a Stop Loss too if you need to protect your bank roll.
Stop Limit and Take Profit Limit orders are available on some exchanges, but I don't think they are very useful except if you have spotted resistance and support levels that you absolutely want to trade even if you are away.

[Pillsike]

Unlike instant buy, limit order is like a watchdog that observes the market price for a trader and executes an order when the price of a coin gets to the limit prepared by the trader.

However, your post on limit order is quite unarranged, try to read other posts in the forum and structure yours like that. Always have space between paragraphs to improve readability. Preview your contents before posting them, it'll help you rethink on a suitable structure for your writing.

Lastly, I think the trading board is cool for this post.

   Yeah you're right. One thing with instance buy is that it doesn't really give the chance for multiple offers and getting more than the desired price.

      Thanks though for the corrections, I will apply them in future posts.

I agree with Accardo about the appearance of your post and its readability, you should try to improve it if you want people to bother to read and to reply to your topics.
Anyway even if Limit orders are important you mustn't neglect or underestimate Market orders, especially Stop Loss orders and Take Profit orders. When the market is volatile it's always smart to have a Take Profit order and a Stop Loss too if you need to protect your bank roll.
Stop Limit and Take Profit Limit orders are available on some exchanges, but I don't think they are very useful except if you have spotted resistance and support levels that you absolutely want to trade even if you are away.

   
       Yeah I get what you and Accardo are saying, I'm actually new on this forum and just learning as I go, thanks.
       True market orders are important as well that's a fact, but this post is just specifically about limit orders.

[2stout]

The importance of the limit order in crypto or any market is so that you don't get run by the market, paying more than you desire to pay.  Basically, you are setting the max price you are willing to pay.

[Pandu Geddon]

The importance of the limit order in crypto or any market is so that you don't get run by the market, paying more than you desire to pay.  Basically, you are setting the max price you are willing to pay.

yes, limiting orders in trading will be useful for traders who do apply a certain price to achieve profits or buy at the best price.
it's like casting a net to catch the price to our liking. either buying at a lower price when the market is down or selling at a higher price when there is a possibility of the asset's value getting a pump.
I think many traders are no strangers to this way. maybe there will be more traders who use stop limits in trading. This can be used for buy/sell limit orders. enough to help traders to deal with strong market fluctuations.

[hd49728]

Stop loss orders are important but if you want to have a more advancing order, you can try Stop limit order.

One of the Best Weapons in Trading
What is a stop limit order ? (Binance Academy).

Stop loss and stop limit orders can help you to reduce your loss and it gives you chances to rebuy same tokens but at cheaper prices if you still want to reinvest in same tokens. When you buy back at lower prices, you can increase total tokens you own.

[Poker Player]

Limit orders only matter if you are going to trade, especially short term, which a hardcore bitcoiner does not do. If you expect Bitcoin to reach $1M at some point in the future, it's not worth it to set up a limit order to try to buy at 16,160 instead of 16,165.40, only to be left without buying because the price goes up and you have to place a new, higher limit order. For that you buy at the price of the market and that's it.

[Charles-Tim]

Yeah you're right. One thing with instance buy is that it doesn't really give the chance for multiple offers and getting more than the desired price.

It depends on the coin you are trading or converting to. Assuming you are converting to bitcoin, expect the market order (what you refered to instant order) to be filled at a market price shown as the bitcoin price on the exchange, which is very useful for many traders to avoid limit order frustration.

But for some altcoins or shit coins, market order can be at a price not shown and far less (if you want to sell) or far more (if you want to buy) than the price shown, which makes the order not to favour the buyer or seller when the trade is filled, but with this too, limit order will not be filled at the limit price shown that was set.

[Adbitco]

First I think this post should be moved to trading discussion.
From my view, there's nothing much too difficult over here to not comprehend by traders though I would suggest does who doesn't know how it's completely function to watch this video for clearer understanding.
I know too well that it may sound so strange to those that wants to venture into trading just like me back then in day when I had no experience about how to trade my coin and token then.

Lastly, investors doesn't trade what they do is to buy and hold for some specific period of time, months or year before they could sell off to make their profits. But with this post is basically referring to traders or to those who wants to engage in buying and selling activities.