Acceptable slippage for market orders: how to control the price difference

Every trader is familiar with the situation: you place a market order expecting a certain price, but by the time it executes, the market has moved, and you get a completely different result. This is where the acceptable slippage feature comes in — a tool that allows you to set the maximum acceptable difference between the expected price and the actual execution price. This function automatically converts a market order into a limit order with your specified boundaries, ensuring predictability and control over your trades.

What is acceptable slippage and why do traders need it

Acceptable slippage is a parameter that defines the maximum allowable deviation in price when placing a market order. It can be expressed either as a fixed amount (for example, 0.1 USDT) or as a percentage (for example, 0.5% of the current price).

This feature applies to three types of trading:

• Spot trading — standard buying and selling of assets
• Margin spot trading — trading with borrowed funds
• Futures trading — trading contracts with leverage

The main idea is to protect against unexpected price jumps. If during order execution the price moves outside the set range, the order will either not be filled or will be partially filled — within the acceptable limits. This is especially important when trading illiquid futures contracts, where slippage can be particularly noticeable.

Two setup methods: fixed amount or percentage

Acceptable slippage supports two modes of setting, each suitable for different trading scenarios.

Method 1: Fixed amount

With this option, you specify an exact deviation amount from the current market price:

For buy orders: limit price = Ask1 + {set amount}

For sell orders: limit price = Bid1 − {set amount}

Let’s consider a practical example with the ETH/USDT pair. Suppose the current quotes are:

• Ask1 at 2100 USDT (seller’s price)
• Bid1 at 2000 USDT (buyer’s price)

If you set acceptable slippage to 0.1 USDT:

• The buy order will be executed at a maximum of 2100.1 USDT (2100 + 0.1)
• The sell order will be executed at a minimum of 1999.9 USDT (2000 − 0.1)

This means you are guaranteed not to buy above 2100.1 USDT or sell below 1999.9 USDT. Any part of the order exceeding these limits will be automatically canceled.

Method 2: Percentage of current price

The percentage mode allows you to set the acceptable deviation as a share of the current market price:

For buy orders: limit price = Ask1 × (1 + {percentage}%)

For sell orders: limit price = Bid1 × (1 − {percentage}%)

Using the same ETH/USDT example, if you set acceptable slippage at 0.5%:

• The buy order will be executed at a maximum of 2110.5 USDT [2100 × (1 + 0.5%)]
• The sell order will be executed at a minimum of 1990 USDT [2000 × (1 − 0.5%)]

When to use which method:

• Fixed amount — convenient for trading on well-liquid pairs where you know the acceptable difference in absolute terms
• Percentage — more versatile, scales with price changes; better suited for volatile markets or trading multiple pairs with different price levels

Advantages of the feature for different trader types

Acceptable slippage offers several key benefits. First, it mitigates one of the main drawbacks of market orders — unpredictable execution during sharp price movements. Second, it provides an optimized alternative to strict limit orders, which often remain unfilled; here, you get the speed of a market order with limit boundaries.

A third advantage is especially relevant for futures traders: when trading illiquid contracts, slippage can be significant, and the acceptable slippage function helps keep it under control. Additionally, market depth is displayed directly when setting the parameter, giving you an estimate of the likelihood of full order execution before placing it.

Step-by-step guide to placing a market order with slippage limit

Step 1: Choose trading pair and direction

Open the trading page and select your desired pair (e.g., ETH/USDT). On the right side of the screen, specify whether you are buying or selling. Select the “Market” order type and enter the order amount or quantity of assets, as you would in a regular market trade.

Step 2: Enable and configure slippage

Check the box next to “Acceptable slippage.” A dropdown menu will appear, allowing you to switch between “In amount” and “In percentage” modes. Choose the appropriate mode and enter the value.

At this stage, the system will also display the current market depth. This helps you assess how likely it is that your order will be fully filled within your set boundaries.

Step 3: Confirm and place the order

Click the “Buy” or “Sell” button (depending on your direction). A confirmation window will open, showing all parameters: order size, acceptable slippage, expected execution price. Double-check everything and click “Buy” or “Sell” again to finalize. Your order is now successfully placed!

Viewing order history and saved settings

All information about your placed orders, including slippage parameters, is saved in the system. You can find your orders in two ways:

Method 1: “Order History” section on the trading page

At the bottom of the trading page, there is an “Order History” section. Hover over any order to see the applied acceptable slippage settings, execution price, and other details.

Method 2: “Orders” menu

Click the “Orders” button in the top right corner of the navigation panel to open the full order history. Here, you can also view the acceptable slippage for each order.

Important notes about saving settings:

• Acceptable slippage is disabled by default
• The system automatically remembers your recent settings
• On your next visit to the trading page, your parameters will be restored
• This applies to the selected mode (amount or percentage) and the entered value

Limitations and special conditions

Be aware of several important points when using this feature:

Partial fills due to low liquidity: Actual execution depends on your order size and available market depth. If the market is insufficiently liquid, only the portion of the order within your acceptable slippage will be filled; the rest will be canceled.

Currency measurement for fixed amount: When setting slippage as an absolute amount, the value is always expressed in the quote currency of the pair.

Restrictions for BTC and ETH pairs: For BTC and ETH pairs, acceptable slippage can only be set as a fixed amount; the percentage mode is unavailable for these assets.

Incompatibility with other order types: The acceptable slippage feature is not supported for “One Cancels the Other” (OCO) orders, conditional orders, or trailing stop orders. For futures trading, you can apply this feature when closing a position at market, setting the desired percentage or amount of slippage.

Mastering this function will give you a powerful tool for more controlled and predictable trading, especially when working with volatile assets or illiquid futures.