What is the meaning of slippage in the crypto market?
Jessen MullinsNov 26, 2020 · 5 years ago3 answers
Can you explain what slippage means in the context of the cryptocurrency market? How does it affect traders and their orders?
3 answers
- Cooper HammerApr 21, 2024 · a year agoSlippage in the crypto market refers to the difference between the expected price of a trade and the actual executed price. It commonly occurs during periods of high volatility or low liquidity, when there is a significant difference between the bid and ask prices. This can result in traders getting a worse price than they anticipated, leading to potential losses. To minimize slippage, traders can use limit orders and avoid trading during times of high market activity.
- rushAug 24, 2021 · 4 years agoSlippage is like when you're trying to buy a pizza for $10, but the delivery guy charges you $12 because the price changed while you were placing your order. In the crypto market, slippage happens when the price moves between the time you submit your order and when it gets executed. It can be frustrating for traders, especially when the price goes against them. That's why it's important to use limit orders and be aware of market conditions to reduce the impact of slippage.
- Farid RzayevJul 04, 2025 · 20 days agoSlippage in the crypto market can be a real pain. It's when you try to buy or sell a cryptocurrency at a certain price, but end up getting a different price due to market fluctuations. This can happen because of delays in order execution or when there's not enough liquidity in the market. Traders need to be careful and set realistic expectations to avoid getting hit by slippage. It's also a good idea to use trading platforms that offer advanced order types, like BYDFi, which can help minimize slippage and improve trading outcomes.
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