- The Limit is used to buy/sell crypto at a specific price.
- The Market is used if you wish to make a more immediate transaction.
- The Sell Limit Order is used to automatically buy/sell once the price meets your requirements.
When placing a limit order outside of the market, (i.e. a sell order below the highest existing buy order, or a buy order above the lowest existing sell order) it will be filled by the best available existing order rather than an order with the price that you set in the limit order.
For example: For any buy limit orders, the order will be executed only at the limit price or a lower price, while for sell limit orders, the order will be executed only at the limit price or a higher one.
The reason for this is that all “taker” orders are matched with the best available existing “maker” orders. This means that if a sell limit order does not hit the specified price, it will sell at the closest higher price.