Buy limit orders enable you to purchase assets at your desired price without needing to continuously monitor the market.
What is a buy limit order?
A buy limit order is a directive to buy an asset at a specified price or lower. It executes automatically when the asset’s market price matches or drops below your targeted price when you create a limit order below the market price. When you create a limit order above the market price, the order is triggered when your price matches the target.
Features of buy limit orders
- Price control: You can set the purchase price for the asset.
- Slippage setting: Set at a default of 5%. Orders are automatically cancelled if the price slips beyond this percentage, protecting you from unexpected price fluctuations.
- Funding requirements: There must be sufficient funds in your account to cover the order. If there are insufficient funds, you have up to 24 hours to add funds before the order is cancelled. Please note that if by any chance the order is triggered within these 24 hours and the funds are still not available, your order will also be cancelled.
- Cancellation option: You may cancel the order at any time before its execution.
Advantages of using buy limit orders
- Automated trading: Automate your trading to execute purchases at around the desired prices, with a 5% margin due to slippage.
- Maximise market opportunities: Place multiple orders across various assets to diversify your trading strategy.
- Control: Manage your orders easily within your Bitpanda account, with options to create, view, and cancel as necessary.
- Efficient use of funds: Continue earning potential returns through Bitpanda Cash Plus until your funds are used in a limit order execution.
How to set up a buy limit order
- Access the order page: Select ‘New Buy Order’ from your home screen or from the specific asset page. Alternatively, when buying eligible crypto, you can switch from the buy market to the buy limit order.
- Specify order details: Enter the asset, target price, and the amount you want to buy.
- Order management: Use the ‘check all orders’ function to view and manage all active orders. Alternatively, you can view the orders via the home screen by accessing the asset detail page.
Eligibility and limitations
- Asset eligibility: Only cryptocurrencies with a market cap over 100 million EUR are eligible for buy limit orders.
- Order cap: Up to 50 active limit orders may be maintained per account.