Order Book

Short Description:

An order book is a record of buy and sell offers for a specific asset.

Main Description:

An order book is a record of all open buy and sell orders for a specific cryptocurrency, non-fungible token (NFT), or digital asset on an exchange or trading platform. It serves as a valuable tool for market participants to assess the supply and demand dynamics, market sentiment, and price levels of the asset. The order book displays two key sections: the buy side and the sell side. Both sides list all active offers for their respective side, indicating the quantity of the asset they want to purchase and the price they are willing to pay. The order book also provides insights into the liquidity available for a particular asset, enabling traders to make informed decisions about whether the exchange rate would change for large offers as they exhaust the supply of other offers.