What is the stop order?

This order type is activated when the current market price of an asset reaches a predetermined stop price. Once the stop price is reached, the order becomes a market order. Stop orders can help you protect your position and lock in profits if the price moves against you. On the other hand, the execution price may differ from the set stop price, especially in highly volatile markets.

The following is an illustration of purchasing crypto assets using a Stop Order:

 

Then, here is an illustration of selling crypto assets using Stop Order:

Example:

• You want to buy 1 BTC at a price of Rp45,000,000, then due to volatile market conditions, you predict that BTC will continue to rise.

• To anticipate this, you set the Stop Price at Rp47,000,000.

• Then, when the market price reaches Rp47,000,000, your order becomes a Market Order, then executed at the best price.