1. What is a market order?
A market order is an order to buy or sell immediately at the best available price in the order book. It is designed for fast execution, with the system matching the order against available liquidity in real time.
During periods of high volatility or low liquidity, the final execution price , with the system matching the order against available liquidity in real time.
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Example:
Assume the latest traded price of BTC is 70,000 USDT. If you want to buy BTC immediately, you can place a market order and enter the purchase amount (for example, 100 USDT). The order will then be executed instantly at the best available market price.
Please note that the final execution price may be higher or lower than 70,000 USDT.
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Key features:
Fast execution: Prioritizes immediate order fulfillment
Slippage risk: Execution price may deviate due to limited liquidity
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2. What is a limit order?
A limit order allows you to set a specific price or a better price to buy or sell an asset. Instead of being executed immediately, the order is placed in the order book and will only be executed once the market reaches your specified price conditions.
This order type is suitable for users who want greater control over execution price.
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Example:
Assume BTC is currently trading at 70,000 USDT. If you want to buy at 68,000 USDT, you can place a limit buy order at 68,000 USDT. The order may be executed when the market price is at or below 68,000 USDT.
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Key features:
Price control: Executes at your specified price or better
No guaranteed execution: The order may remain unfilled if the price is not reached or liquidity is insufficient.
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3. FAQs
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What is the difference between a market order and a limit order?
Market order prioritizes execution speed and is filled at the best available price. A limit order prioritizes price control and is executed only at the specified price or better.
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Will a market order always be executed at the displayed price?
Not necessarily. Execution depends on real-time order book conditions. Slippage may occur during volatile or low-liquidity market conditions.
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What happens if my limit order is not filled?
The order will remain in the order book until it is filled or manually canceled.
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Why wasn't my limit order filled even though the price was reached?
A brief price touch does not always guarantee execution. If there is insufficient liquidity at that price level, the order may not be fully executed.
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Should I choose a market order or a limit order？
Choose a market order if you prioritize fast execution. Choose a limit order if you want better control over the execution price.
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Disclaimer & Risk Warning
This content does not constitute investment advice. Market orders may be subject to slippage, while limit orders carry the risk of not being filled. Please make sure you fully understand the associated risks and trade with caution.
