A limit order on Coinbase is an order to buy or sell crypto at a specific price or better. It only executes if the market reaches the price you set.
- Buy limit order: You set a maximum price you are willing to pay. The order fills only if the market price is at or below that level.
- Sell limit order: You set a minimum price you want to receive. The order fills only if the market price is at or above that level.
Key points:
- You control the price, not the timing.
- Orders may not execute if the market never reaches your price.
- Fees are usually lower because most limit orders add liquidity (maker fees).
- Good for traders who want precision instead of instant execution.