Order Book
A real-time list of buy and sell orders organized by price level on an exchange.
The order book aggregates limit orders into bids and asks, forming market depth. Trades match when a market order crosses the spread or when opposing limits meet.
"A large buy wall in the order book can act as temporary support for BCH price."
Traders use order books to assess liquidity, slippage risk, and potential breakout levels.
"Thin order books on smaller exchanges can lead to higher slippage on sizable market orders."
Related Terms
Cryptocurrency Exchange
→A platform that facilitates the buying, selling, and trading of cryptocurrencies. Exchanges can support crypto-to-crypto or crypto-to-fiat transactions and serve as crucial infrastructure in the digital asset ecosystem.
Limit Order
→A trading instruction to buy or sell an asset at a specified price or better.
Market Order
→A type of order to buy or sell a security at the best available price in the current market.
Bid-Ask Spread
→The difference between the highest bid and lowest ask price for an asset.
Liquidity
→The ease with which a crypto asset can be bought or sold without affecting the market price.
Maker-taker fees
→Maker-taker fees differentiate between adding liquidity (maker) and removing liquidity (taker), with different fee schedules and rebates.
All terms and definitions may update as the Cryptionary improves.
