What Is A Limit Order And How To Use It?

Converter is an indispensable financial tool for both newbies and advanced merchants dealing with cryptocurrencies. This option greatly facilitates the payment processing, especially if you want to quickly exchange one coin for another.

However, since many users working with crypto have already known about usual market convert, in this article, we explore the deeper thing, particularly the term of limit orders, using the example of the Cryptomus platform.

What Is A Limit Order?

Limit is an order type that sets the desired price at which a user is willing to convert a certain digital asset.

With limit orders, you can define the price at which you want to convert the specific asset, in contrast to market orders, which execute deals by price and volume of existing buy or sell orders. In addition, a limit order is executed automatically when purchase and sale prices match, making the process less time-consuming and saving users from having to constantly monitor the crypto market.

Typically, a limit order is placed for a period of up to several months, but it all depends on the cryptocurrency and the exchange used.

How Do Limits Work?

Limit orders’ working principles are quite similar to familiar market ones, but there are several essential points. Let’s see more closely!

To place a limit order, you must set your preferred conversion price for cryptocurrency. Once a limit order is confirmed, it is immediately placed in the order book, your funds are “freezed” while they wait for the right moment. When the market price of the chosen crypto reaches or exceeds the limit price, the conversion will be automatically executed. It’s important to mention that the conversion will not be completed unless the coin price reaches the specified limit price.

In addition, Cryptomus also provides users with the opportunity to utilize a partial execution of the limit order. The thing is that if the final converted amount is less than a user wants, the limit may still not be fully implemented. In this case, the partial conversion amount will be credited to the user's wallet, and the remainder will be received later in the same account.

What Are The Benefits?

Limits definitely have vital benefits that help users better optimize their operations and save time. For example, Cryptomus provides users with a convenient limit order option to convert any crypto with peace of mind, including all the advantages mentioned below.

• You can set any preferable price for conversion of a digital asset you want. It’s your chance to get crypto at its most profitable price;

• There are no time limits, your funds can wait for a good price rate as long as a situation requires it;

• Using limit orders saves your time and frees you from monitoring the market while waiting for the best moment. Everything will be done automatically for you.

Cryptomus combines a large number of reliable crypto services for merchants and useful features for regular users, so the convert option will definitely become one more must-have for efficiently interacting with cryptocurrency.

How To Use Limit Orders?

To become a full-fledged cryptocurrency user, it is essential to be acquainted with most processes made with digital money. Setting limits while converting assets is one of them! On Cryptomus, it can be implemented with just a few clicks. Let’s see how it goes in detail!

• Sign up for the Cryptomus wallet account if you don’t have one yet. You can choose any suitable method of registration: using a phone number, email, or doing it directly via Telegram, Apple ID, Facebook or linking an account to your Tonkeeper wallet.

• Once you sign up or log in, you’ll see the Overview section, where you can check your balances on personal, business, and P2P wallets.

• Select “Personal” on the left corner of your dashboard and choose the “Convert” option. You can also utilize quick-action buttons under your personal wallet’s balance.

• Once you come to the Convert section, switch to “Limit”, specifying the cryptocurrency you want to convert and the limit price. The final converted funds will be shown automatically in the cells below.

• Click “Convert”, and all that is left is to wait until your crypto will reach the necessary price to be converted. Converted funds will be credited to your wallet automatically once the exchange rate reaches the desired level.

There was everything that you may need to start converting crypto using limit orders. We hope this article was helpful, and now you’re able to efficiently optimize your process when working with cryptocurrency!