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  1. Home
  2. /Glossary
  3. /Order Book
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trading

Order Book

A list of all buy and sell orders for an asset, organized by price.

Definition

A list of all buy and sell orders for an asset, organized by price. The order book shows market depth and where liquidity sits. Centralized exchanges use order books, while most DEXs use AMMs instead.

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GuideCrypto Trading GuideBlogHow to Read Crypto Order Books Like a Pro

Related Terms

Bid Price

The highest price a buyer is willing to pay for an asset right now.

Ask Price

The lowest price a seller is willing to accept for an asset.

Liquidity

How easily an asset can be bought or sold without significantly affecting its price.

Accumulation Phase

A period when smart money quietly buys up an asset before a major price move.

Annualized Return

The average yearly return on an investment, calculated to account for compounding.

Arbitrage

Profiting from price differences of the same asset across different markets.

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