What is crypto Spot Trading?

Crypto Spot trading is a transaction between buyers and sellers to trade one cryptocurrency for another at the current market price. 

Taking BTC/USDT as an example, the price of the trading pair represents how many units of USDT need to be paid to buy 1 BTC, or how many units of USDT can be obtained by selling 1 BTC.

 

 

 

What are the differences between Spot Trading and Derivatives Trading?

Spot Trading and Derivatives Trading in the crypto market have distinct differences. In Spot Trading, traders must own the underlying asset. It involves the buying and selling of cryptocurrencies at the current market price. In Spot Trading, the buyer and seller exchange the quote and base tokens right away.

Conversely, Derivatives Trading is a form of trading where the parties involved agree to buy or sell a cryptocurrency at a predetermined price on a specific future date in the Derivatives market. In this scenario, traders don't directly trade the actual asset but rather speculate on the asset's price. They can choose to go long if they predict an increase in the asset's value, or go short if they foresee a decrease. While no physical assets are exchanged in Derivatives Trading, traders are still required to hold a certain amount of assets, known as margin (dependent on the leverage used), to cover potential losses.

 

What is the difference between Spot Trading and Margin Trading?

Spot Trading and Margin Trading are both trading methods used in the Spot market, but they operate differently. Spot Trading refers to the direct buying and selling of one crypto for another.

On the other hand, Margin Trading involves borrowing funds to purchase or sell more assets than you could with just your own capital. This magnifies a trader's profits and losses due to the increased quantity of assets that can be long or short. Please note that interest is charged on the borrowed funds in Margin Trading.

 

What is the Bybit Spot trading fee?

Bybit charges a 0.1% trading fee from the Taker and does not charge any trading fee to the Maker.

For more details, please refer to Spot Trading: Fees Explained.

 

 

 

What is Maker/Taker?

Traders preset the quantity and order price and place the order into the order book. The order waits in the order book to be matched, thus increasing the market depth. This is known as a Maker, which provides liquidity for other traders.

A Taker occurs when an order is executed instantly against an existing order in the order book, thus decreasing the market depth.

 

 

 

Which account should I transfer my funds into to perform Spot Trading?

If you're a Non-Unified Trading Account (UTA) user, you should transfer your funds into the Spot Account to perform Spot Trading. However, if you're a UTA user, please transfer your funds into the UTA to carry out Spot Trading.

 

 

 

How do I deposit funds to my Spot Account or Unified Trading Account?

There are two (2) primary methods you can use to deposit funds into your Spot Account:

1. Deposit: If your account currently doesn't hold any crypto assets, you can perform a direct deposit of funds.
2. Fund Transfer: If you have another account with funds, you can transfer them to your Spot Account. If you've upgraded to a Unified Trading Account, you can also transfer funds to this account.

 

Please refer to the following articles for detailed instructions on how to make a deposit or transfer assets.

• How to Make a Deposit
• How to Transfer Assets on Bybit

 

 

 

What order types does the Spot market support?

In the Spot Market, various types of orders are supported. These include Market Order, Limit Order, Conditional Order and TP/SL Order. For more detailed information about these order types, please visit here.

 

 

 

Where can I check the average Buy and Sell prices for my spot trading orders? 

When trading on Spot, you can display the average price of your Sell and Buy orders directly on the trading chart. To activate it, click on Display and tick the average price you would like to see. You can also select the period on which the average will be calculated (last 7, 30, 60 or 90 days). Please note that the average price will be calculated from the current day to the last day of the selected period.

 

 

 

Why can't I enter the quantity (or value) of cryptocurrency that I wish to purchase (or sell) when using Market Buy (or Sell) Orders?

Market Buy and Sell Orders are filled with the best available price in the order book. Hence, it would be more accurate for traders to fill in the amount of assets (base or quote token) they wish to use to purchase or sell the cryptocurrency, instead of the amount of cryptocurrency to purchase.

 

Are there any trading limits for Bybit spot trading?

Yes. For more information, please refer to Bybit Spot Trading Rules. 

 

Is there a maximum amount of assets I can hold after purchasing from Spot market?

Due to the higher investment risks and price volatility, the maximum holding amount per token in the Innovation Zone is capped at the equivalent of 100,000 USDT.

However, for tokens that are listed outside of the Innovation Zone, there are no imposed maximum limits on the amount you can hold.

 

 

 

How many orders can a trader be placed at most?

— A maximum of 500 active orders can be placed, of which the latest 50 orders will be displayed in the order records zone.

— Up to 10 conditional orders can be placed, and all orders will be displayed in the position tab.

 

Is there a minimum/maximum order limit on trading volume per transaction?

Yes. Please refer to the Bybit Spot Trading Rules.

 

Can I conduct Spot Trading through my Subaccount on Bybit?

Yes, you can perform Spot Trading through your Subaccount on Bybit. However, please ensure that the Spot Account or Unified Trading Account of your Subaccount has sufficient funds before you begin Spot trading.

To transfer funds to your Subaccount, please navigate to Account & Security located in the upper right-hand corner of the Bybit page. From there, select Subaccount and proceed to Transfer Assets to move funds to your respective Subaccount. For more details, please refer to the here.

 

 

 

How do I view my order history?

On Bybit App, go to Trade to enter the Spot Trading page. Tap on All Orders and you will see your order history.

 

 

 

 

What is the difference between the Current Orders, Orders History and Trades History?

The difference between Current Orders, Order History, and Trades History lies in the status and execution of the orders:

• Current Orders: This section displays the orders that are still pending to be filled or triggered. 
• Order History: This shows the history of orders that have either been filled or canceled. 
• Trades History: This section presents the trades that have been successfully executed and filled. If an order is large, it might be filled by several trades, all of which will be shown in this history.

 

 

 

Can I borrow funds to trade in the Spot market?

Yes, borrowing funds to trade in the Spot market is possible through the feature of Spot Margin Trading. You can activate this by switching to the Margin Tab in the order zone and turning on Margin Trading.

 

However, please note that interest will be charged on the borrowed funds. In addition, liquidation will be initiated when the Loan-To-Value (LTV) reaches 95%. For users who have upgraded to a Unified Trading Account, liquidation is triggered when the Maintenance Margin Ratio (MMR) hits 100%.

 

For more information, please refer to this.

 

 

 

 

Are my assets in the Spot Account cross-shared with the Derivatives Account? 

No, they are not. Therefore, your assets under the Spot Account cannot be used to support your open positions under cross-margin in the Derivatives Account.

 

 

 

I have upgraded my account to Unified Trading Account, how can I trade Spot Trading as there is no Spot Account in Unified Trading?

Spot Trading is supported in Unified Trading Account for Unified Trading users.