How to read the order book on KuCoin

KuCoin's order book displays real-time buy (bids) and sell (asks) orders, with the highest bid and lowest ask indicating market liquidity and price direction.

Aug 10, 2025 at 03:21 pm

Understanding the Order Book Interface on KuCoin

When accessing the order book on KuCoin, users are presented with a real-time display of buy and sell orders for a specific cryptocurrency pair. This interface is typically located on the right side of the trading screen, adjacent to the price chart. The order book is divided into two main sections: the bids (buy orders) on the left and the asks (sell orders) on the right. Each entry represents a limit order placed by a trader, showing the price and quantity available at that level.

The highest bid is the topmost buy order and reflects the maximum price a buyer is currently willing to pay. Conversely, the lowest ask is the topmost sell order and indicates the minimum price a seller is willing to accept. The difference between these two values is known as the spread, which is a key indicator of market liquidity. A narrow spread generally suggests a highly liquid market, while a wide spread may indicate lower trading activity or volatility.

KuCoin's order book updates dynamically as new orders are placed, modified, or filled. Users can toggle between different depth levels—such as 10, 20, or 50 levels—to view more or fewer orders. The color coding in the order book also plays a role: green typically represents buy-side pressure, while red indicates sell-side dominance. These visual cues help traders quickly assess market sentiment.

Interpreting Bid and Ask Data

Each row in the order book contains two critical pieces of information: price and quantity. For example, a bid entry might show a price of $30,000 with a quantity of 0.5 BTC. This means a trader is willing to buy 0.5 Bitcoin at $30,000 per BTC. Similarly, an ask entry might display $30,050 and 0.3 BTC, indicating a seller offering 0.3 BTC at that price.

The cumulative effect of these orders forms market depth. By observing the volume stacked at various price levels, traders can anticipate potential support and resistance zones. A large cluster of bids at a certain price suggests strong demand, potentially preventing the price from falling below that level. Likewise, a dense wall of asks may act as a resistance barrier, slowing upward price movement.

It's important to note that the order book only shows limit orders—those set to execute at a specified price. It does not display market orders, which execute immediately at the best available price. This means that sudden price movements may occur when large market orders consume available liquidity, even if the visible order book appears stable.

Using the Depth Chart for Visual Analysis

Adjacent to the numerical order book, KuCoin provides a depth chart, a graphical representation of buy and sell orders. This chart plots price on the vertical axis and cumulative volume on the horizontal axis. The blue line usually represents buy orders (bids), extending to the left, while the red line shows sell orders (asks), extending to the right.

Peaks and valleys in the depth chart reveal areas of high order concentration. A steep slope indicates thin liquidity, meaning small trades could cause significant price changes. A gradual slope suggests deeper liquidity, where larger trades can be absorbed without drastic price swings. Traders use this visual tool to identify liquidity gaps or order walls that may influence price behavior.

For instance, if the depth chart shows a massive bid wall at $29,800, it may signal strong buying interest at that level. If the price approaches this zone, it could bounce upward as buyers absorb sell pressure. Conversely, a towering ask wall at $30,200 might cap upward movement until sufficient buying volume emerges to overcome it.

Reading Real-Time Order Flow

The order book updates in real time, allowing traders to observe order flow dynamics. Rapid changes in the top levels of the book can indicate aggressive buying or selling. For example, if the best bid is consistently being lifted—meaning buyers are taking out the lowest sell orders—it suggests bullish momentum.

• Watch for order cancellations, especially large ones, which might indicate spoofing or a shift in trader sentiment.
• Look for new large limit orders appearing deep in the book, which can act as hidden support or resistance.
• Monitor the rate of order filling—a fast-moving book often accompanies high volatility or news events.

KuCoin’s interface allows users to sort the order book by price, quantity, or total value (price × quantity). Sorting by total value helps identify the most significant orders in terms of USD or USDT impact, which can be crucial for swing or position traders.

Practical Steps to Analyze the Order Book

To effectively read the order book on KuCoin, follow these steps:

• Log in to your KuCoin account and navigate to the Spot Trading section.
• Select a trading pair, such as BTC/USDT, from the market list.
• Locate the Order Book panel on the right side of the screen.
• Adjust the depth view to show 20 or 50 levels for a broader perspective.
• Observe the current best bid and best ask prices.
• Check the spread by subtracting the best bid from the best ask.
• Switch to the Depth Chart tab to visualize liquidity distribution.
• Identify any large buy or sell walls that could influence price direction.
• Enable real-time updates to see how orders change with market activity.

Using the "Total" column in the order book, you can assess the cumulative value of orders at each price level. This helps determine how much capital would be required to move the price past a certain point. For example, if there are 10 BTC in sell orders at $30,100 totaling $301,000, a buyer would need to spend at least that amount to clear that level.

Common Misinterpretations and How to Avoid Them

One common mistake is assuming that all visible orders will remain in place. In reality, high-frequency traders and bots often place and cancel orders rapidly, creating phantom liquidity. A large bid or ask may disappear moments before a price reaches it, leading to unexpected slippage.

Another pitfall is focusing only on the top few levels of the order book. While the best bid and ask are important, deeper levels can reveal hidden intentions. A series of smaller buy orders stacked just below the current price might indicate accumulation by a large player.

Traders should also avoid equating order book size with guaranteed price movement. A large bid wall doesn’t guarantee a bounce—it could be a trap to lure in buyers before a dump. Cross-referencing order book data with trading volume and recent price action provides a more reliable context.

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Frequently Asked Questions

What does a green number in the order book mean on KuCoin?

A green number in the order book typically indicates a price increase relative to the previous trade. In the context of the order book, when a new bid appears at a higher price than the last executed trade, it may be highlighted in green to signal upward price pressure.

Can I see who placed the orders in the KuCoin order book?

No, KuCoin does not display user identities in the order book. All orders are anonymous, showing only price and quantity. This protects user privacy and is standard across most centralized exchanges.

Why do some large orders in the order book disappear quickly?

Large orders may vanish due to order cancellation or partial filling. High-frequency traders often use iceberg orders, which display only a fraction of the total size, or cancel orders strategically to avoid revealing their full intent.

Does the KuCoin order book include stop-limit orders?

No, the order book only shows active limit orders. Stop-limit orders are not visible until the stop price is triggered and the limit order is placed on the book. Until then, they remain hidden from public view.