Klever
  • Home
  • Global
  • Exchange
  • Wallet
  • Education
  • NFTs
  • Announcements
  • Opinions
  • Marketcap
No Result
View All Result
  • Login
  • Register
Klever News
  • Home
  • Global
  • Exchange
  • Wallet
  • Education
  • NFTs
  • Announcements
  • Opinions
  • Marketcap
No Result
View All Result
Klever News
Home Exchange
iceberg exchange order

What is an Iceberg order, how to use it?

Huge order of crypto that is divided to look smaller quantities help maintain demand & supply

by Jagdish Kumar
July 15, 2022
in Education, Exchange, Global
Reading Time: 4 mins read
3k
A A
0
Share on FacebookShare on Twitter

We all are aware that if someone places huge buy or sell orders for any crypto project the price either goes up or comes down very fast.

To overcome this, an iceberg order tool is used, which maintains the demand and supply, even though the order value is very huge.

You might also like

Time to start using K5: learn how to migrate to the new Klever wallet app version

Time to start using K5: learn how to migrate to the new Klever wallet app version

January 31, 2023
7.3k
Use cryptocurrency and blockchain for transparent and secure voting

Use cryptocurrency and blockchain for transparent and secure voting

January 30, 2023
7.3k

What is an Iceberg order?

An iceberg order is a way to buy & sell large amounts of cryptocurrencies. This service is used by big investors or institutional investors who want to place huge orders.

Let’s understand this with an example.

Imagine: a crypto trader wants to buy or sell 1000 Bitcoin (BTC) at once. If he places an order it can be visible in the order book and this can cause market disruption of BTC, as a huge buy or sell order has been placed by a user.

In order to bypass this, the user places an order in a set of 100 BTC, so no one notices these orders, as it is divided into smaller chunks and the market volatility is maintained.

Why use an Iceberg order?

By using the Iceberg order tool, the buyer or the seller is simply avoiding panic in the market. Based on the plan to execute its buy or sell order, the user executes in a very structured manner.

The order can be placed for the long term or even in an intraday trade. That means that if a user wants to execute an order during the daytime, it can be possible.

Suppose a user wants to place an order with the rate he/she intends to buy or sell – it can be placed in the time frame of 1 to 120 minutes intervals.

The user can also select a limited order or can buy/sell at market rates.

Who uses iceberg orders? 

Iceberg orders are often used by big investors or by large institutional investors. 

They are also known as reverse orders, which are mostly used by market makers that make an offer for buy & sell. 

When it comes to such big crypto transactions, we all are aware there are some big names that can place an order that can disrupt the market. This is also not good for them, so these investors use this tool to save the market from huge impact because of their orders.

If you see the order book properly, you can see the set of orders placed in buy & sell. A regular user can find out the first order, as the order sets are not seen until the first set of orders is executed. 

That is why it is called the iceberg order because you can only see the tip of the ice, not the complete iceberg that hides below the tip.

Once the first set is executed, the second set appears, and so this happens until all the ten sets are cleared.

For smaller investors placing an order through an iceberg tool is very unusual, as they don’t have depth in their order book, so for them, this cannot be a useful tool.

Only for users who want to go deep in buying/selling crypto at a much higher level, an iceberg order tool can do magic.

How do iceberg orders work? 

Once the user has decided to use an iceberg order tool, he/she needs to divide the order book into smaller quantities. By doing this, the user has just become a common user with no adverse impact on the market prices.

The main goal of the user is to execute the orders, because, if you are trading you don’t want crypto rates to inflate or drop all of a sudden. 

How to place an iceberg order? 

In order to place an order, a user must select a crypto exchange where he/she can have direct access to the order books and the market.

The use of Iceberg chart trading is not possible on regular trading platforms. Users can only place iceberg orders on crypto platforms that have direct market access (DMA), which is only available on strong technologically developed platforms.

User needs to open an account in that crypto trading platform that has such a tool and place their first order by using the Iceberg order tool. 

Once you have decided how much to trade and open an account, you can start trading. As soon as the price set in your iceberg order is triggered, the buy or sell option is executed.

Every exchange has its own limitation in setting the iceberg order. Some allow only 10 sets, some more than that. Always check for the best exchange that has such a service. 

If a user wants to sell 10,000 BTC by using the Iceberg order tool, a user will be required to set 10 different orders of 10 sets each.

By using an iceberg tool, a user can become a responsible trader, as he/she is not disrupting the market as a whole and also supporting himself/herself to own the crypto assets at the prices they are looking for.

Tags: exchange iceberg ordericeberg order
Previous Post

Brazilian fintech PicPay will launch exchange and stablecoin

Next Post

The importance of internet data in the time of internet “banking”

Jagdish Kumar

Jagdish Kumar

Reporting & writing on crypto & blockchain for the past few years. A content eagle, journalist & writer with a passion to explore new technologies that can change human lives. Joined Klever to make Crypto simple. Follow me on Twitter @TokenBharat or email me at jagdish@klever.io

Related Stories

Time to start using K5: learn how to migrate to the new Klever wallet app version

Time to start using K5: learn how to migrate to the new Klever wallet app version

by Maluh Bastos
January 31, 2023
0
7.3k

KleverChain’s launch in 2022 was one of the biggest accomplishments for the Klever Ecosystem.  Klever’s very own blockchain is bringing...

Use cryptocurrency and blockchain for transparent and secure voting

Use cryptocurrency and blockchain for transparent and secure voting

by Warren Manuel
January 30, 2023
0
7.3k

The integrity of democratic voting systems is crucial for the functioning of a healthy democracy. In recent years, there has...

Choosing Klever Wallet, K5 is a smart decision

Choosing Klever Wallet, K5 is a smart decision

by Isabela Bellumat
January 30, 2023
0
7.3k

As a decentralized crypto wallet, the Klever Wallet offers all the necessary tools for crypto enthusiasts, including storage of assets,...

Introducing K5, The Crypto Wallet Of The Future

Introducing K5, The Crypto Wallet Of The Future

by Klever
January 26, 2023
0
7.4k

KleverOS, the revolutionary Klever crypto wallet operating system that powers K5, ushers in a new era of crypto wallets. Today,...

Next Post
internet banking

The importance of internet data in the time of internet "banking"

Weekly Klever News

Klever News Weekly Newsletter – Jul 15

Please login to join discussion
Download Klever Wallet Download Klever Wallet Download Klever Wallet
ADVERTISEMENT

Recommended

Ethereum

Coin of the Week: Ethereum (ETH)

November 14, 2021
7.5k
Tron (TRX)

Coin of the Week: Tron (TRX)

May 19, 2022
7.5k

Popular Story

  • Stand a chance to win your share of 10,000 KLV

    Stand a chance to win your share of 10,000 KLV

    8334 shares
    Share 3334 Tweet 2084
  • Test drive Klever Wallet, K5 and Win 1000 KLV & 1 KFI

    7021 shares
    Share 2808 Tweet 1755
  • Bitcoin battles back from record losses to $21,000

    5914 shares
    Share 2366 Tweet 1479
  • Klever showcases its blockchain ecosystem on a Time Square billboard

    5358 shares
    Share 2143 Tweet 1340
  • K5 adds new blockchain and KleverSafe support in the latest Android version

    5070 shares
    Share 2028 Tweet 1268

Follow us on Twitter

Klever News

Join the Klever community
Growing together we are stronger.
Be sure to follow us on social media to stay up to date.

Categories

  • Announcements
  • Coin of the Week
  • Education
  • Exchange
  • Games
  • Global
  • Hardware Wallet
  • Market Updates
  • NFTs
  • Opinions
  • Sponsored
  • Wallet
Download Klever Wallet Download Klever Wallet Download Klever Wallet
ADVERTISEMENT

Recent News

Time to start using K5: learn how to migrate to the new Klever wallet app version

Time to start using K5: learn how to migrate to the new Klever wallet app version

January 31, 2023
Use cryptocurrency and blockchain for transparent and secure voting

Use cryptocurrency and blockchain for transparent and secure voting

January 30, 2023
  • Sponsored Content
  • Advertise
  • Contact Us
  • RSS Feed

© 2022 Klever News - Premium Crypto news & insights by Klever Finance.

  • Login
  • Sign Up
No Result
View All Result
  • Home
  • Global
  • Exchange
  • Wallet
  • Education
  • NFTs
  • Announcements
  • Opinions
  • Marketcap

Welcome Back!

Sign In with Google
OR

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Sign Up with Google
OR

Fill the forms below to register

*By registering into our website, you agree to the Terms & Conditions and Privacy Policy.
All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
-
00:00
00:00

Queue

Update Required Flash plugin
-
00:00
00:00
Go to mobile version