Trading BTC pairs versus USDT pairs depends on your goals, market conditions, and your risk tolerance. Here’s when you might choose one over the other:

1. Trading BTC Pairs

• Market Belief in BTC Growth: If you believe Bitcoin (BTC) will outperform other cryptocurrencies, you might prefer BTC pairs. This approach can increase your BTC holdings if the altcoin you trade rises in value against BTC.
• BTC as the Base Currency: Traders often use BTC pairs when Bitcoin is viewed as the primary store of value, and their goal is to accumulate more BTC rather than fiat currency.
• Volatile Market Conditions: In a volatile market, if you’re confident that BTC will hold its value better than USD, trading in BTC pairs can be beneficial.
• DeFi and Certain Altcoins: Some altcoins may only have liquidity in BTC pairs, especially in decentralized exchanges or niche markets.

2. Trading USDT Pairs

• Stability and Less Risk: If your priority is to lock in profits in a stable currency, USDT pairs are preferable. Since USDT is a stablecoin pegged to the USD, it reduces exposure to BTC’s volatility.
• USD Equivalent Value: When your aim is to measure and maintain portfolio value in USD or another fiat currency, trading in USDT pairs provides a clearer picture of your gains or losses in terms of real-world money.
• Short-Term Trades: For short-term trades where you want to exit into a stable currency quickly, USDT pairs are more practical.

Bear Market Conditions: In bear markets, where BTC might be losing value, trading USDT pairs can protect your capital.

Key Takeaway

• Trade BTC pairs if your goal is to grow your BTC holdings and you believe BTC will outperform other assets.
• Trade USDT pairs if your goal is to preserve value in USD or reduce exposure to crypto volatility.

Your strategy should align with your long-term objectives and risk tolerance.