{"id":464909,"date":"2022-06-18T17:00:00","date_gmt":"2022-06-18T14:00:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/what-is-an-iceberg-order-and-how-to-use-it\/"},"modified":"2022-06-18T17:00:00","modified_gmt":"2022-06-18T14:00:00","slug":"what-is-an-iceberg-order-and-how-to-use-it","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/what-is-an-iceberg-order-and-how-to-use-it\/","title":{"rendered":"#What is an Iceberg order and how to use it?"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a349e5496b5b\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a349e5496b5b\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-1'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/what-is-an-iceberg-order-and-how-to-use-it\/#%E2%80%9CWhat_is_an_Iceberg_order_and_how_to_use_it%E2%80%9D\" >&#8220;What is an Iceberg order and how to use it?&#8221;<\/a><ul class='ez-toc-list-level-2' ><li class='ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/what-is-an-iceberg-order-and-how-to-use-it\/#How_do_iceberg_orders_work\" >How do iceberg orders work?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/what-is-an-iceberg-order-and-how-to-use-it\/#Who_uses_iceberg_orders\" >Who uses iceberg orders?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/what-is-an-iceberg-order-and-how-to-use-it\/#Why_use_iceberg_orders\" >Why use iceberg orders?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/buradabiliyorum.com\/en\/what-is-an-iceberg-order-and-how-to-use-it\/#What_is_an_iceberg_order\" >What is an iceberg order?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h1><span class=\"ez-toc-section\" id=\"%E2%80%9CWhat_is_an_Iceberg_order_and_how_to_use_it%E2%80%9D\"><\/span>&#8220;What is an Iceberg order and how to use it?&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h1>\n<p style=\"float:right;margin:0 0 10px 15px;width:240px\"><img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS9zdG9yYWdlL3VwbG9hZHMvdmlldy9lYjI0OWYxOTE4MGZiOWUyMzEyMTdlZWY2YTYxYTNkYS5qcGc=.jpg\" class=\"type:primaryImage\"><\/p>\n<pre><code>                                        What is an iceberg order and how to use it? Avoid major changes in the crypto market by using reverse orders.                    \n                &lt;h2&gt;How to place an iceberg order?&lt;\/h2&gt;&lt;p&gt;&lt;\/p&gt;&lt;p dir=\"ltr\"&gt;&lt;em&gt;Use a platform where you have direct access to the order books and the market, open an account and start trading big amounts in small steps.\u00a0&lt;\/em&gt;\n<\/code><\/pre>\n<p>Iceberg chart trading isn\u2019t possible on the regular trading platforms. You can only place iceberg orders on platforms that provide direct market access (DMA). DMA requires a strong technologically developed platform where you have access to the order books like BitMEX or BitFinex.\u00a0<\/p>\n<p>Once you open an account, you can start trading. Almost every platform works broadly the same. You have to select the order type and instead of an instant order, limit order or stop order, you choose to perform an iceberg order. In the following example, you see that you got a few fields to fill in. In this case, the user is buying a total amount of 1,000 BTC. The platform, in this case, OKX, will automatically buy the desired quantity of BTC.\u00a0<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" width=\"1450\" height=\"1138\" alt=\"\" src=\"https:\/\/s3.cointelegraph.com\/storage\/uploads\/view\/f73cc553186499855f482a335149aaf3.png\"><\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_do_iceberg_orders_work\"><\/span>How do iceberg orders work?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p dir=\"ltr\"><em>Investors divide a large order into several small pieces and place them on the market 1:1.<\/em><\/p>\n<p>When investors want to buy or sell large quantities of crypto, they use iceberg orders. They want to trade but don\u2019t want to upset the market. By dividing their order into smaller parts, they do not influence the demand or supply on the market because they stay off the radar.\u00a0<\/p>\n<p>The main goal of those investors is to execute all of their orders at the desired price. For example, when you\u2019re selling or buying large amounts of BTC, the last thing you want as a trader is to inflate the price of a currency because of buying pressure from other investors.\u00a0<\/p>\n<p>But, how do you identify an iceberg order? To begin with, you need to start digging in level-2 order books. Level 1 provides the basic price data and keeps no details. Level 2 provides a lot more information and shows market depth up to 10 best bids and offer prices.\u00a0<\/p>\n<p>When you\u2019re looking for iceberg strategy orders, you need to use level-2 order books because when the first order in line is executed, the next part reloads. Take a deep dive into the trading columns and look for orders with a similar price. It\u2019s all about the pattern.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" width=\"1450\" height=\"1030\" alt=\"\" src=\"https:\/\/s3.cointelegraph.com\/storage\/uploads\/view\/f4db1a6487f51114df6d100f8db3d1be.png\"><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Who_uses_iceberg_orders\"><\/span>Who uses iceberg orders?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p dir=\"ltr\"><em>An iceberg trade is most often executed by large institutional investors.\u00a0<\/em><\/p>\n<p>Iceberg orders, also known as reverse orders, are mostly used by market makers, which is another word for an individual or firm who is providing offers and bids. When it comes to such big crypto transactions, we mostly talk about institutional crypto investors. They often trade in big amounts of cryptocurrencies, which may have a huge impact on the market.<\/p>\n<p>As a watcher, it\u2019s possible to look up the order in the order books, but only a small part of the market maker iceberg orders is visible on level-2 order books. Level-2 order books, in the crypto world, contain all bids and asks on an exchange including price, volume and timestamp \u2014 real-time data collection it is.\u00a0<\/p>\n<p>They call it the tip of the iceberg for a reason: The rest of the order is \u201cunder the water\u2019s surface.\u201d For smaller investors like private traders, placing an iceberg order is unusual.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Why_use_iceberg_orders\"><\/span>Why use iceberg orders?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p dir=\"ltr\"><em>Iceberg trading avoids major changes in the crypto market, like price disruptions.<\/em><\/p>\n<p>An iceberg order is a simple way to prevent panic in the market. Based on a logistical plan, transactions are executed in a structured manner. This prevents substantial changes in cryptocurrencies and demand. The trades are usually executed by a broker until the schedule is completed and the total order is settled.\u00a0<\/p>\n<p>Here is an example of an iceberg order: if you want to sell 1000 BTC, you divide a big order like this into smaller pieces. You start with an order to sell 300 BTC. Then, you sell 200 BTC, another 250 BTC and finally the last 250 BTC.\u00a0<\/p>\n<p>This automatically brings us to the next question: What are hidden orders? Are they similar to iceberg orders? Basically, iceberg orders are indeed hidden orders with one difference: The hidden part of an order is executed after it shows up in the order book, while iceberg orders get executed directly.\u00a0<\/p>\n<p><em><strong>Related: A beginner\u2019s guide to take crypto profits and reinvesting<\/strong><\/em><\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_is_an_iceberg_order\"><\/span>What is an iceberg order?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p dir=\"ltr\"><em>An iceberg order is a big trading order divided into different smaller chunks.<\/em><\/p>\n<p dir=\"ltr\">An iceberg order is a way to buy or sell large amounts of cryptocurrencies. If there are large shifts in the market, for example, buying or selling 50,000 Bitcoin (BTC) at once, the transaction stands out in the order books. Usually, a gigantic drop in the value of cryptocurrencies leads to a disruption in the market . Not only for the person placing the order but also for all other traders.<\/p>\n<p>When investors want to execute big transactions, they divide them into different smaller orders. Among all the activity on the market, no one notices a <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/watch-movies-tv-seriess\/\" data-internallinksmanager029f6b8e52c=\"8\" title=\"Watch Movies &amp; TV Series\" target=\"_blank\" rel=\"noopener\">series<\/a> of smaller transactions. When someone does find out, the investor executed the transactions already.<\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/explained\/what-is-an-iceberg-order-and-how-to-use-it\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;What is an Iceberg order and how to use it?&#8221; What is an iceberg order and how to use it? Avoid major changes in the crypto market by using reverse orders. &lt;h2&gt;How to place an iceberg order?&lt;\/h2&gt;&lt;p&gt;&lt;\/p&gt;&lt;p dir=&#8221;ltr&#8221;&gt;&lt;em&gt;Use a platform where you have direct access to the order books and the market, open an account&#8230;<\/p>\n","protected":false},"author":1,"featured_media":464910,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1024_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS9zdG9yYWdlL3VwbG9hZHMvdmlldy9lYjI0OWYxOTE4MGZiOWUyMzEyMTdlZWY2YTYxYTNkYS5qcGc=.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[],"class_list":["post-464909","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/464909","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=464909"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/464909\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/464910"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=464909"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=464909"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=464909"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}