Cryptocurrency pairs, such as ETH/USDT or BTC/USDT, represent the value relationship between two assets: a cryptocurrency and a fiat currency (in this case, the US dollar, represented by “USDT,” which is a stablecoin pegged to the dollar). Here’s how to easily read these pairs:

Pair Symbol

  • BTC/USDT: This pair indicates that you are comparing the value of Bitcoin (BTC) to the US dollar (USDT).

  • ETH/USDT: Here, you are comparing the value of Ethereum (ETH) to the US dollar.

Understanding the Direction

  • If the value of the pair is BTC/USDT = 50,000, it means that 1 Bitcoin is valued at 50,000 US dollars.

  • If the value of ETH/USDT = 2,000, it indicates that 1 Ethereum is valued at 2,000 US dollars.

Buying and Selling trades

  • If you believe that the value of Bitcoin or Ethereum will increase compared to the dollar, you could execute a buy operation (also known as “long”).

  • If you think that the value of Bitcoin or Ethereum will decrease compared to the dollar, you could execute a sell operation (also known as “short”).

Observing the Current Price

  • If you see that BTC/USDT = 55,000, it indicates that the price of 1 Bitcoin has increased to 55,000 US dollars.

  • If you observe that ETH/USDT = 2,200, it means that 1 Ethereum is now valued at 2,200 US dollars.

Price Fluctuations

  • The values of these pairs will constantly change due to supply and demand in the market. Traders attempt to profit from these fluctuations by buying when they expect the price to rise and selling when they expect the price to fall.