For those who are just getting started with crypto trading, the term “cryptocurrency glass” may sound mysterious. However, understanding the principles of its operation is the key to competent analysis of the market situation and making the right trading decisions. It is especially important to take it into account during active transactions on the exchange or during price monitoring before exchanging cryptocurrency.

What is a cryptocurrency glass

A cryptocurrency glass is a tool that shows all current orders to buy and sell a coin on an exchange. Its second name is an order book. Imagine a virtual board where market participants leave notes:

• I want to buy 1 BTC at $65,000.

• I am ready to sell 0.5 BTC at $66,000.

These orders are collected in one table. The upper part is those who sell (Ask), the lower part is those who buy (Bid). In the middle is the current transaction price at which orders begin to be executed.

This is not just a list. It is the basis of market dynamics: it shows how much interest there is in a certain cryptocurrency, which way the price might move, and where the so-called “market forces” are.

What is a glass made of

Let's look at a specific example. Usually, the order book is presented as a table or a graph. Each line shows the price, the order volume, and the total number of coins at a particular price.

Main elements:

Price (USDT)	Volume (BTC)	Order type
66,200	0.8	Sale
66,100	1.5	Sale
66,000	—	Current price
65,900	2.0	Purchase
65,800	0.7	Purchase

• Ask (Sell) - participants are ready to sell cryptocurrency at a certain price.

• Bid (Purchase) - other participants want to buy it at their price.

• Spread is the difference between the highest bid price and the lowest ask price. The smaller the spread, the more liquid the market.

Why do you need a cryptocurrency order book

The glass is a way to look inside the market and see how the price is formed. Here are the main reasons why it is important:

• Understanding supply and demand. The more people who want to buy at a certain price, the higher the demand. The more people who want to sell, the higher the supply.

• Choosing the best moment to trade. If you see that someone has placed a large buy order, the price may soon rise. This is a signal to make a decision.

• Liquidity assessment. If there are few orders in the order book or a large gap between the bid and ask prices, this may indicate low liquidity and risks for trading.

• Safe cryptocurrency exchange. Even if you are not actively trading, but just want to profitably convert your assets, the glass helps you understand at what real rate the exchange is taking place. For example, before making an exchange, it is useful to see how “live” the market is and whether there are risks of losing on the spread.

What is the difference between the cryptocurrency glass and the regular price

Unlike a simple price display, the cryptocurrency order book shows what is happening inside the market. For example, you can see:

• Aggressive bidders who are willing to execute the deal immediately at the best available price;

• Limit orders placed at the trader's estimated price;

• Manipulation, where large participants place fake bids to influence the behavior of other players.

This analysis is especially important for large transactions or when you want to not just buy a coin, but do it at the best price.

How to use a glass

Even a beginner can find it useful:

• Before buying a coin. Look at how many requests are for sale and what prices are - this will help you understand whether the current price is profitable.

• Before selling. Find out if other users are willing to buy your cryptocurrency and at what price.

• To assess price movement. Sometimes large orders (called "walls") show that someone with a lot of money wants to keep the price from falling or rising.

• For building a strategy. If you want to place an order, but do not know at what price, the glass will tell you the most reasonable reference point.

Do you need to be able to read the order book if you are not a trader?

Yes, at least at a basic level. Even if you don't plan to trade every day, the cryptocurrency glass will help you avoid a bad rate, understand when it is more profitable to buy, and when it is better to wait. This is especially important if you:

• are you going to exchange crypto for fiat money or another coin;

• plan to enter a promising coin at an early stage;

• want to avoid unnecessary losses when selling a large volume of coins.

The cryptocurrency order book is not complicated and not only for traders. It is a useful tool that shows the real picture of the market: who is buying, who is selling, and at what prices. Having understood its logic, you will be able to approach transactions more consciously, better understand the behavior of the market and make informed decisions.

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