An order book is simply a list of all open orders and orders that have been filled for a particular trading pair on Binance. You can view the order book for any trading pair on Binance by clicking on the “Order Book” tab just below the candlestick chart on the trading page.
Each entry in the order book lists the price at which someone is willing to buy or sell an asset, as well as the quantity they are willing to buy or sell at that price. .
The order book is constantly updating as people place orders to buy or sell an asset. As more people place orders at a certain price, that price will become more and more liquid, meaning that there is a higher chance that someone will be able to trade at that price.
The order book can also give you an idea of how much buying or selling pressure there is for a particular asset. If there are a lot of buy orders close to each other but not many sell orders, that means there is strong buying pressure and the price is likely to go up.
Similarly, if there are a lot of sell orders close to each other but not many buy orders, that means there is strong selling pressure and the price is likely to go down.
The order book can be a useful tool for both buyers and sellers in deciding what price to buy or sell an asset at. For example, if you want to buy an asset but don’t want to pay more than necessary, you can look at the order book to see if there are any good deals available.
Alternatively, if you want to sell an asset but don’t want to sell for less than necessary, you can also use the order book to see what prices people are willing to pay.
In conclusion, the order book on Binance provides valuable information about the liquidity and pressure in the market for a particular trading pair. It can be used by both buyers and sellers to help them decide what price to trade at.