What Is Spot Trading
Spot trading is the most basic way to buy and sell cryptocurrency — you use one coin (usually USDT) to purchase another (such as BTC), or sell a coin you hold in exchange for USDT. The logic is the same as stock trading: buy low, sell high, and profit from the difference.
Unlike futures trading, spot trading involves no leverage. You own exactly as much crypto as you pay for, and there is no risk of liquidation.
Prerequisites
Before you start spot trading, you need:
- A Binance account with completed KYC identity verification
- USDT in your spot wallet (if your USDT is in the funding account, transfer it first)
- A clear idea of which coin you want to buy
How to Buy
Step 1: Open the Spot Trading Page
App bottom menu → tap "Trade" → select "Spot"
Step 2: Search for a Trading Pair
In the search bar at the top of the trading page, type the name of the coin you want to buy. For example, type "BTC" and you will see the following pairs:
- BTC/USDT (buy BTC with USDT)
- BTC/BUSD
- BTC/FDUSD
- And more
In most cases, choose BTC/USDT — it has the highest trading volume and best liquidity.
Step 3: Choose an Order Type
In the order area, you will see several order types:
Market Order: Executes immediately at the current market price. Simply enter how much USDT you want to spend, and the system fills the order at the best available price.
Limit Order: You specify a price, and the order only fills when the market reaches that price. For example, if BTC is currently 65,000 USDT, you could place a limit buy order at 64,000 USDT. Your order fills automatically when BTC drops to 64,000.
Beginners should use market orders — they are the simplest to use, execute instantly, and free you from agonizing over what price to set.
Step 4: Enter the Buy Amount
- For a market order: Enter how much USDT you want to spend in the "Amount" field. For example, entering 100 means you want to spend 100 USDT to buy BTC.
- For a limit order: First enter your desired buy price, then enter the quantity or amount.
You can also use the percentage slider below — tap 25% to use 25% of the USDT in your spot account, or 100% to go all in.
Step 5: Confirm the Purchase
Review the details and tap the green "Buy BTC" button.
- Market order: A confirmation dialog appears; confirm to execute immediately
- Limit order: The order enters a pending state and waits to be filled
Step 6: Check the Result
After execution, you can check your holdings at:
- The "Positions" tab at the bottom of the trading page
- Wallet → Spot → find the relevant coin
How to Sell
Method 1: Sell from the Trading Page
- Navigate to the BTC/USDT trading page
- Tap the "Sell" tab (usually the red section)
- Choose market order or limit order
- Enter the amount of BTC to sell (or use the percentage slider)
- Tap the red "Sell BTC" button
- Confirm, and the USDT arrives in your spot account
Method 2: Sell from Your Portfolio
- Wallet → Spot → find BTC
- Tap the "Trade" button
- You will be redirected to the trading page; switch to "Sell"
- Follow the same steps above
Choosing Between Market and Limit Orders
| Factor | Market Order | Limit Order |
|---|---|---|
| Execution speed | Instant | Uncertain |
| Execution price | Best available price | Your specified price |
| Difficulty | Simple | Requires price judgment |
| Best for | Immediate buy/sell | Buying/selling at a specific price |
| Risk | Possible slippage during volatility | May remain unfilled for a long time |
What is slippage? When you place a market order, if many people are buying at the same time, your actual fill price may be slightly higher than the "last price" you see. For large pairs like BTC/USDT, slippage is usually negligible. For smaller coins, slippage can be more noticeable.
Managing Your Orders
Viewing Pending Orders
If you placed a limit order that has not yet been filled, you can find it under the "Open Orders" tab at the bottom of the trading page. You can cancel unfilled orders from here.
Viewing Trade History
The "Trade History" tab at the bottom of the trading page shows all completed trades.
Canceling Orders
Limit orders can be canceled at any time before they are filled, at no cost. Simply tap the "Cancel" button next to the pending order.
Fee Breakdown
A fee is charged on every spot trade:
- Base rate: 0.1% (charged on both buy and sell)
- With BNB discount: 0.075%
- With referral code + BNB discount: 0.06%
Example: You buy BTC with 100 USDT using a market order. The fee is 0.1 USDT (at the base rate). You effectively receive about 99.9 USDT worth of BTC.
The fee is deducted from the coin you buy. For instance, if you buy 0.0015 BTC, you actually receive 0.001499 BTC (after the fee deduction).
Common Beginner Mistakes
Mistake 1: Constantly Chasing Pumps and Panic Selling
Buying when the price goes up and selling when it drops, over and over. Each trade costs a fee, and the cumulative fees from frequent trading will seriously eat into your capital.
Mistake 2: Going All-In on a Single Coin
Putting all your USDT into one coin (especially a small-cap one) is extremely risky. At minimum, split your funds between BTC and ETH.
Mistake 3: Not Checking the Trading Pair
Some beginners search for a coin and randomly tap a trading pair without noticing they selected BTC/ETH instead of BTC/USDT. Different trading pairs use different quote currencies — always confirm you are on a USDT-denominated pair.
Mistake 4: Using Market Orders for Small-Cap Coins
Small-cap coins have thin order books. Using a market order can result in severe slippage. If you want to buy a small-cap coin, use a limit order and set a reasonable price.
Advanced Tips
Favorite Your Trading Pairs
Add your frequently traded pairs to your watchlist so you can access them directly next time, without searching.
Set Price Alerts
On the trading pair page, you can set price alerts. When BTC hits the price level you set, the app sends a push notification — no need to watch the charts all day.
Trade in Batches
Whether buying or selling, splitting your order into several smaller trades is generally safer than doing it all at once. For example, if you want to buy 500 USDT worth of BTC, consider placing three separate orders at different times to reduce the risk of buying at a single price point.