At SwissBorg, we are committed to providing our users with cutting-edge tools that enhance their trading experience and empower them to make informed financial decisions.
Introducing Limit Orders—an essential feature now available on the SwissBorg app. This powerful tool gives you greater control over your trading strategy, enabling you to execute trades with precision, planning, and predictability. Whether you're looking to maximize profits or minimize losses, Limit Orders are designed to help you achieve your investment goals with confidence.
What Are Limit Orders?
Limit Orders allow you to buy or sell cryptocurrency at a specific price or better. Unlike market orders that execute immediately at the current market price, Limit Orders enable you to set your desired price for buying or selling. This means you can strategically place your orders to buy low and sell high, optimizing your investment outcomes while maintaining full control over your trading activities.
Getting Started with Limit Orders on SwissBorg
To use Limit Orders in the SwissBorg app, follow these simple steps:
Open the SwissBorg app and navigate to the Invest tab
Choose the “Limit Order” option.
Select the asset pair you wish to trade.
Enter your desired price and quantity.
Confirm your order.
With these steps, your limit order is set and will execute once the market conditions meet your specified criteria.
Available trading pairs for Limit Orders
Currently, the following pairs are available for setting up Limit Orders:
BTC/EUR
ETH/EUR
XRP/EUR
XRP/GBP
More to come soon.
How Do Limit Orders Work?
When you place a limit order, you define the exact price at which you want your trade to be executed. For a buy limit order, your trade will only be executed if the market price drops to or below your specified price. Conversely, for a sell limit order, the trade will only go through if the market price reaches or exceeds your specified price.
When setting a limit order, you specify two key details:
The Price: The specific price at which you wish to buy or sell the asset.
The Quantity: The amount of the asset you want to trade.
Example of a Buy Limit Order: Suppose you want to buy Bitcoin (BTC), currently trading at $40,000. You believe the price will drop to $38,000. By setting a buy limit order at $38,000, your order will only be executed if the price falls to $38,000 or lower, ensuring that you purchase BTC at your desired price.
Example of a Sell Limit Order: Imagine you own Ethereum (ETH), currently priced at $2,500. You anticipate that the price will rise to $3,000. By placing a sell limit order at $3,000, your ETH will only be sold if the price reaches $3,000 or higher, allowing you to sell at your target price and maximize your profits.
Key Benefits of Limit Orders
Precision
Limit orders provide unparalleled precision in your trading strategy. You can set the exact price at which you want to buy or sell, ensuring that you do not miss out on your target price. This level of precision helps you make informed decisions and execute trades based on your analysis and market conditions.
Planning
With limit orders, you can plan your trades in advance. Whether you are looking to enter the market at a lower price or exit at a higher price, limit orders allow you to set your strategy and let the market come to you. This proactive approach helps you avoid impulsive decisions and stick to your investment plan.
Predictability
Limit orders offer predictability in your trading outcomes. By setting predefined prices, you eliminate the uncertainty of market fluctuations and execute trades only when your conditions are met. This predictability enhances your ability to manage risk and achieve your financial goals.
FAQ
What's the difference between a Limit Order and a Smart Exchange?
Unlike market orders, which execute immediately at the current market price, limit orders enable you to set the exact price at which you are willing to buy or sell. This means you can strategically place your orders to buy low and sell high, optimizing your investment outcomes.
Is there a fee for using Limit Orders?
Just like Instant Exchanges, SwissBorg charges a service Fee based on your premium membership level. The estimated amount of your Limit Order includes Service Fees. Additional execution fees will be charged by the execution platform. Please note that service fees might change over time and therefore over the life of your Limit Order.
Due to Execution Venue rounding constraints, the final executed amount may be slightly lower than the actual order amount and any remaining locked funds will return to your main wallet.
How can I monitor the status of my Limit Orders?
You can monitor the status of your Limit Orders through the Limit Order dashboard available from the Invest tab. This dashboard shows active and completed orders. You can also access your Limit Orders from each asset in your Portfolio.
Can I cancel a Limit Order once it's placed?
Yes, you can cancel a Limit Order anytime before it is fully executed by accessing the details of your order from the Limit Order Dashboard, or the asset page in your Portfolio
What happens to the funds that are needed to execute my order?
Your funds will be transferred from your Main Wallet into a separate wallet called “Orders”, this way we can grant funds for your Limit Order execution at any time. In case of order cancellation those funds will be returned to your Main Wallet.
Can I place a Stop Loss Order using this feature?
No, this feature specifically supports Limit Orders.