- Backtesting
The process of using the rules that make up a trading strategy or algorithm and running them against a historical set of trading data for a given asset, in hopes of determining how your trading strategy reacts in different market cycles and whether you can gain any insight into developing a profitable trading strategy.
- Bag
A Bag or “Holding A Bag” is slang for owning some quantity, large or small, of a specific cryptocurrency.
- Bag holder
A Bag Holder normally describes someone that bought a currency at some price, only to see the digital asset’s price drop before he got a chance to sell it. Now he’s stuck with a bag of worthless cryptocurrencies. You don’t want to be a bag holder.
- Basel Committee on Banking Supervision (BCBS)
An international standards-setting and financial stability authority made up of 45 members representing 28 countries from around the world. Regarding cryptocurrency asset regulation, the Committee makes suggestions to banks on how to limit their exposure to crypto asset risk, in the form of varying capital requirements for different types of cryptocurrencies, such as stablecoins, or tokenized sticks, or non-stablecoin not-tokenized cryptocurrencies like bitcoin (BTC) and most altcoins
- Bear
A Bear is a cryptocurrency trader or investor that believes the price of an asset or market will decline for a prolonged period of time. Someone who believes this is said to have “bearish” sentiment, or a bearish attitude toward the market and its future price movements.
- Bear Market
A Bear Market describes a cryptocurrency market where declining prices are the trend. Prices decline for a prolonged period and investors and traders believe that prices will continue to do the same. Trader confidence is low in that prices will maintain or increase.
- Bear Trap
A Bear Trap is a trading manipulation technique used by a group of traders or a large whale, where large amounts of a currency are sold at the same time, breaking local price supports. The manipulators, by dumping their holdings, hope to drive prices down for all other market participants to see. Those participants think […]
- Bear Whales
Bear Whales use their capital “size” to drive down cryptocurrency prices in hopes of profiting from the price decline. Whales can place and remove sell walls on a CEX’s order book continuously, manipulating other traders to sell off their assets early because they see the sell wall.
- Binance
Binance is the largest cryptocurrency exchange by daily trading volume in the world. It experienced US $34 trillion in trading volume in 2021. The Binance trading platform is known for low trading fees, a large number of supported cryptocurrencies, and a large number of order types, including Limit orders, market orders, stop-limit orders, trailing stop orders, post-only orders, peer-to-peer trading, margin trading, and one-cancels-the-other orders
- Binance Coin (BNB)
The cryptocurrency created by Binance exchange, the world’s largest centralized cryptocurrency exchange (CEX) by trading volume.. BNB is a utility token that can be traded like any other cryptocurrency, but is also used to pay for goods and services, participate in token sales, buy virtual gifts, reduce trading fees, make loans and transfers and make credit card payments.
- Biometric Security
Biometric security, in relation to cryptocurrencies, usually takes the form of fingerprint authentication.
- Bitcoin (BTC)
Bitcoin (BTC) is most well known as a digital decentralized cryptocurrency, without a central bank or single administrator, that can be sent from user to user on the peer-to-peer Bitcoin network without the need for intermediaries, such as payment gateways or banks or routing services. Think of bitcoin as Internet money, that you can send and receive directly, to and from anyone, and you can use it to pay for stuff.
- Bitcoin ATM (BTM)
A Bitcoin ATM (BTM) is an ATM machine that lets you buy and sell Bitcoin (BTC), transfer Bitcoin (BTC) to someone else, and some even let you sell Bitcoin (BTC) and withdraw cash. Surprise! A Bitcoin ATM is very similar to a traditional bank ATM, in that you can deposit and withdraw fiat money. To […]
- Bitcoin Dominance (BTCD)
Bitcoin Dominance (BTCD) is a ratio that measures the market capitalization of bitcoin (the largest digital asset by market cap) against that of all other cryptocurrencies, or altcoins. It’s a ratio calculated by taking the market cap of BTC and dividing it by the market cap of all other altcoins. Crypto traders use bitcoin dominance […]
- Bitcoin Improvement Proposal (BIP)
A Bitcoin Improvement Proposal (BIP) is the formal process used by the Bitcoin community to propose ideas, suggest changes, and make improvements to Bitcoin.
- Bitcoin Pizza Day
Bitcoin Pizza Day marks the day when the first known purchase of a physical good occurred using the first cryptocurrency, bitcoin (BTC).
- Bitstamp
Bitstamp is a centralized cryptocurrency exchange (CEX) operating out of Luxembourg, the UK, and the US. It was one of the first exchanges allowing you to buy and sell bitcoin (BTC). It offers access to 54 different tradeable digital assets, including Tether (USDT), USD Coin (USDC), DAI, Paxos Standard (USDP), and Gemini Dollar (GUSD) stablecoins.
- Bittrex
Bittrex is a centralized cryptocurrency exchange (CEX) operating out of the US, but offering services globally. Bittrex offers over 400 tradable digital assets. It’s also known for low fees, a huge selection of tradable assets, and availability across 46 states of the US.
- Block
A collection of transactions, (like sending bitcoin to your mom’s crypto wallet) that occur on a blockchain, that are grouped into a block and added to the blockchain once verified and confirmed.
- Block Reward
Incentives or prizes given to miners after they use their computing resources to successfully validate a new block of transactions and add them to the blockchain.
- Block Time
Block Time represents the amount of time it takes to verify and add a new block to a blockchain. Another way to think about block time is that it’s the amount of time a miner takes to solve the complex hashing problems, which verifies all of the transactions in a given block and adds it to the blockchain.
- Blockchain
Blockchain networks are at the heart of cryptocurrencies. A blockchain is a database, or digital ledger, made up of a series of interconnected blocks containing transaction data created on the network over some period of time. Each block in a blockchain also contains a unique identifier unlike any other block in the chain called a hash. Think of the hash as a fingerprint identifying that block for all other blocks. Distributed ledger technology (DLT) is another name frequently used in relation to blockchains.
- Blockchain Explorer
A Blockchain Explorer is a tool that allows anyone to explore any public cryptocurrency’s blockchain. It allows you to review blockchain transactions as they’re added, view wallet balances and all transaction history, and check the status of transactions.
- Brain Wallet
A Brain Wallet refers to storing cryptocurrencies in your mind by using your brain and the power of memorization to remember your seed phrase. Using your memory as your primary wallet is an absolutely horrible idea.
- Brian Armstrong
Brian Armstrong is the co-founder and CEO of Coinbase, the largest cryptocurrency exchange in the United States. Armstrong lead Coinbase to go public on the Nasdaq on April 13, 2021.
- Bricked Funds
Brick funds are funds stuck inside of a smart contract due to a programming bug. They can’t be recovered and are lost forever. Sad. Protocol and smart contract audits performed by reputable companies can help to discover bugs, vulnerabilities, and security risks before they have a larger impact on the community.
- Bubble
Describes an asset, or entire market, significantly appreciating in price, at an inflated level, and not reflecting the asset’s or market’s real value here on Earth.
“The bubble” bursts, sending those inflated prices that can’t be sustained crashing down hard.
- Bull
A bull is a trader or investor that believes the price of an asset or market will increase for a prolonged period of time
- Bull Market
A Bull Market describes a market where increasing prices are the trend. Prices increase for a prolonged period and investors and traders believe that prices will continue to do the same. Trader confidence is high.
- Burn
Burn or burning of coins or tokens means permanently removing that digital asset from circulation, effectively reducing the total supply of the asset. Think of it as destroying assets that can never be brought back.
- Buy The F*cking Dip (BTFD)
BTFD (or BTD if you’re not cool) is an acronym for “Buy the F*cking Dip!”.
It refers to traders aggressively buying any asset after it’s dropped in price.
This takes place when a currency has significantly dropped in price, with the rationale being that if you buy now, you’re getting in at a discount because the current lower price is only momentary, and the price will bounce back up, maybe to its ATH, resulting in instant gains.
- Buy Wall
Buy Walls occur on exchanges when a massive buy order or combination of several large buy orders that all have the same price in the order book for a specific cryptocurrency. The existence of buy walls has the effect of driving prices up even before it’s filled because a cryptocurrency’s supply will go down considerably once price hits the buy wall and orders are filled.
