When trading, many people don't want to sit and watch the charts waiting for a price. That's where limit orders come in handy. First, register on Binance for an account, then download the Binance APP so you can place orders anytime, anywhere.
What Is a Limit Order?
A limit order lets you set a price in advance. When the market price reaches your specified price, the system automatically executes the trade. For example:
- BTC is currently at $60,000, and you think $58,000 is a good entry point — you place a limit buy order at $58,000
- When BTC drops to $58,000, the system automatically buys for you
The same applies to selling — you can set a higher price for a sell order, and it will automatically sell when the price reaches that level.
How to Place a Limit Order
Buying
- Open the Binance APP and go to the "Trade" page
- Search for the coin you want to trade, such as ETH
- In the order area, tap the order type and select "Limit"
- Enter the price you want to buy at
- Enter the quantity, or use the slider to select how much USDT to spend
- Tap "Buy ETH" and confirm
Selling
Switch to the "Sell" tab, select limit order, set your desired sell price and quantity, and submit.
Difference Between Limit Orders and Market Orders
| Comparison | Limit Order | Market Order |
|---|---|---|
| Execution Price | You set it | Current market price |
| Execution Speed | May not execute immediately | Almost instant |
| Best For | No rush, want a better price | Need to buy or sell urgently |
Things to Watch Out for When Using Limit Orders
Setting an Unrealistic Price May Result in No Execution
If your buy price is set far below the current price, you may wait a long time without getting filled. Set your price with reference to recent price trends.
Partial Fills
Sometimes your order may only partially fill. For example, if you want to buy 1 ETH but only 0.5 ETH is available at your price, the system fills 0.5 first and keeps the rest of the order open.
You Can Cancel Anytime
Unfilled limit orders can be canceled at any time. Find the corresponding order in "Open Orders," tap cancel, and there's no fee for doing so.
Advanced Usage
Besides standard limit orders, Binance also supports "Take Profit/Stop Loss" orders and "OCO" orders (one order with two conditions — when one triggers, the other is automatically canceled). Once you're comfortable with the basics, you can explore these advanced features.
Limit orders are one of the most commonly used trading tools. Once you've mastered placing orders, you won't need to watch the charts all day.