Why Is My Limit Order Not Filled or Filled Immediately?

[Estimated Reading Time: 4 mins]

This article explains why your Limit Order may not get filled or why it might be filled immediately when trading on Bitget. Understanding these scenarios helps optimize your trading strategy and ensures a seamless trading experience.

What Is a Limit Order?

A Limit Order is a type of order where you specify the maximum price you are willing to buy or the minimum price you are willing to sell an asset. The order only executes if the market price matches or is better than your specified price.

Understanding the Order Book

The Order Book is a real-time list of buy and sell orders on the market, displayed as:

1. Buy Orders (Bids): Displayed in Green, orders from buyers willing to pay up to a certain price.

2. Sell Orders (Asks): Displayed in Red, orders from sellers willing to accept no less than a certain price.

The price where the highest Bid (Buy) and the lowest Ask (Sell) meet is called the Market Price.

Why Was My Limit Order Not Filled?

There are several factors that could prevent your Limit Order from being filled:

1. Market Price Has Not Reached Your Limit Price

• A Buy Limit Order is executed only if the market price is equal to or below your specified price.

• A Sell Limit Order is executed only if the market price is equal to or above your specified price.

• If the market never reaches your specified price, the order remains unfilled.

2. Insufficient Liquidity

• Your order size may be too large for the available liquidity at the specified price.

• In such cases, only part of the order may be filled, or it may remain pending until liquidity improves.

3. Order Expiry or Cancellation

• If you set a Time-in-Force (TIF) option like‘Good Till Canceled (GTC)” or “Immediate or Cancel (IOC),” the order may expire or cancel automatically if conditions are unmet.

Why Was My Limit Order Filled Immediately?

Limit Order can be filled immediately if:

1. Limit Price Matches the Current Market Price

• If your Limit Price equals the current best bid/ask price, the order matches instantly. This often happens during high liquidity and fast-moving markets.

2. Limit Price Outside Current Market Range

• Buy Order: If you set a limit price higher than the current market price, the order will be executed immediately.

Example: If Bitcoin's current market price is $90,000 and you set a buy limit order at $91,000, the order will execute immediately at $90,000.

• Sell Order: If you set a limit price lower than the current market price, the order will also be executed immediately.

Example: If Bitcoin's current market price is $90,000 and you set a sell limit order at $89,000, the order will execute immediately at $90,000.

3. Triggered by Existing Orders

• If existing orders in the order book can match your Limit Price at the time of placement, your order is filled instantly.

How to Prevent Immediate or Unfilled Limit Orders?

1. Ensure your Limit Price is aligned with your strategy. Use the order book to understand the current market dynamics.

2. Keep an eye on volatility and liquidity to optimize your order placement.

3. Leverage Stop-Limit Orders or TIF settings to customize the behavior of your order.

4. If trading high volumes, consider splitting your order into smaller chunks for better execution.

FAQs

1. Why is my Limit Buy Order not filled?
The market price has not dropped to or below your specified price, or there’s insufficient liquidity.

2. Why was my limit order executed immediately?
Your Limit Price matched or exceeded the current market price at the time of placement.

3. Can I modify an unfilled limit order?
Yes, you can cancel or edit the order anytime before it is executed.

4. What happens if my Limit Order expires?
The order is canceled automatically based on the TIF setting.

5. How can I check the status of my limit order?
Tap Open Orders to review your order details and status.

Disclaimer and Risk Warning

All trading tutorials provided by Bitget are for educational purposes only and should not be considered financial advice. The strategies and examples shared are for illustrative purposes and may not reflect actual market conditions. Cryptocurrency trading involves significant risks, including the potential loss of your funds. Past performance does not guarantee future results. Always conduct thorough research, understand the risks involved. Bitget is not responsible for any trading decisions made by users.