As you’ll see from the Binance Trading menu, the next option down is Classic Trading. This offers a more traditional trading interface and broader range of Spot options, alongside additional Market Orders types which we’ll explore in the walk-through.
Immediately when you move to the Classic Trading menu you can see that the interface is much busier, with a lot more information to absorb.
Step 1 – Choose the Classic Trading Interface
Click on the “Trade” option, and select “Classic”. It’ll show you the below screen. The difference between this screen and the Convert Interface (or Coinbase Buying process) is immediately obvious.
There is so much more information to absorb because the Classic interface assumes that you want to be far more proactive in the Trading process. We introduced some of these features earlier in the section when talking about exchanges and price discovery, the most important being the Order Book.
An order book is where buyers and sellers can view the offers available on a cryptocurrency. These order books are updated constantly 24 hours a day. An example of an order book could be for the BTC/USD trading pair. The below screen has the current offers available in the market for buying BTC and selling BTC in exchange for EUR.
The image above is of an order book for EUR/BTC pairs. Green color-coded orders show buy orders whereas the orders color-coded in red are sell orders. This snapshot is essential to gauge the seller and buyer interest at certain price levels. Traders can use this data to get valuable information about potential resistance or support level.
Step 2 – Choose a Trading Pair
On the right side of the website, you can see the list of Trading Pairs. We’ve explained elsewhere what Trading Pairs are, Binance categorise the pairs of assets you can trade by the trading base:. BNB –
- Binance’s own native currency
- BTC – Bitcoin
- Alts – The major Alt Coins
- FIAT – Fiat currencies such as EUR
Given this is your first trade you’ll be starting with FIAT so need to choose that option to select the relevant trading pair. We’re assuming you’ve made a Euro deposit and here want to buy Bitcoin so you should select the EUR/BTC Trading Pair.
Step 3 – Decide on the type of trade you want to place
Having chosen your Trading Pair you now need to choose the type of trade you’d like to make. At this point you can see how the simple Market order option offered by Coinbase and in Binance’s Convert trading option expand to include two additional options.
- Market Order: As previously described this allows users to trade cryptocurrencies at their market rate. This order fills immediately, therefore you cannot cancel it.
- Limit Order: It allows you to set the minimum price you want to sell coins for or the maximum price you’re willing to pay for them. You’d then have to wait for a buyer or seller to accept the price. If you’re planning to HODL, set a limit order at a price above the current market price to take profit when the price goes higher.
- Stop-Limit Order: It allows you to sell or buy a coin once it reaches a specific price. If you’re trading for the short-term, set a limit price below the current price as the first target. You can also set a stop order above the current price to manage the risk.
Step 4 – Input the Amount You Want to Buy
As we are focused on a Market Order you simply need to input the amount in Euros of BTC you want to buy. Here you can see that we are buying €20 worth of BTC. Alternatively you can simply use the slider and choose 25%, 50%, 75% or 100% of your available balance to buy with.
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