I have a question. Suppose Bitcoins price is now $20000 and i have 1 Bitcoin. And i want to sell my bitcoin but accidentally i put the selling price at $2000 and confirmed it for sale. Then what will happens next? I know how buying and selling works on exchanger. In order to sell something someone have to buy it. But what happens if there are no buy order at $2000.
Forgive me if i say something wrong. I didn't try it on exchanger because of the fear of losing money.
So this is the advantage of the limit order. When any person places a limit buy order it means he is ready to buy upto that price of that asset in this case let's say 20k which means he won't even pay a penny more than that but is ready to agree for anything less as well, similarly when you place a sell order you are ready to sell at a minimum of 20k not a penny less than that but obviously ready to sell more than that if someone agrees. Now suppose you put sell at 2000, the order book will try to find the person who is ready to pay the highest for your asset but anything not less than 2000. So eventually it will take the person ready to pay the highest in order book which will be around the current market price only. So you won't end up losing anything it will act more like a market order.