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I need to understand how buying / selling works in crypto markets.

I see an ask of amount: 44608.01, rate: 0.98 in the XRP/USD market in Kraken.

  1. Will the rate 0.98 be in USD or XRP? I'm assuming USD for now.
  2. If I buy 44608.01 XRP/USD @ USD 0.98, I have USD 43715.8498, correct?
  3. If I sell 43715.8498 XRP/USD @ USD 1.13, how many XRPs do I have?

    43715.8498 / 1.13 = 38686.5927433628 ?

  4. If my above assumptions are correct, have I then lost 44608.01 - 38686.5927433628 = 5921.4172 XRPs from these 2 transactions?
  5. If I'm right on (4), how did I lose money when my buying price was lower than my selling price?
  • @HartCO - My understanding was that if I place a buy of 44608.01 on XRP/USD, I have spent 44608.01 XRP to purchase 43715.8498 USD, am I wrong? – HyderA Feb 13 '18 at 21:31
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    So. For starters. You don't buy or sell XRP/USD. You're either buying ripple or you're buying bitcoin or your buying dollars. That order is for 44608 Ripple priced in USD at $0.98USD per Ripple. (though make sure it's really USD not USDT tether). It looks like you bought 44608 then sold only 43715 and you haven't accounted for fees. – quid Feb 13 '18 at 22:56
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If I buy 44608.01 XRP/USD @ USD 0.98, I have USD 43715.8498, correct?

No, you used to have $43,715.85, now you have 44,608.01 XRP.

If I sell 43715.8498 XRP/USD @ USD 1.13, how many XRPs do I have?

44608.01 - 43715.8498 = 892.1602. You have 892.1602 XRP (and $49,398.91 proceeds from the sale).

If my above assumptions are correct, have I then lost 44608.01 - 38686.5927433628 = 5921.4172 XRPs from these 2 transactions?

No, you've gained $4,790.90 (and you hold 892.1602 XRP with a present value of another $1008.14).

2

Will the rate 0.98 be in USD or XRP? I'm assuming USD for now.
If I buy 44608.01 XRP/USD @ USD 0.98, I have USD 43715.8498, correct?
If I sell 43715.8498 XRP/USD @ USD 1.13, how many XRPs do I have?

An 'ask' means an offer to sell 44,608.01 XRP for $0.98/each.

So it would cost $43,715.85 to buy all 44,608.01 XRP, if you subsequently sold them at $1.13/each you'd have $50,407.05 and 0 XRP (and capital gain of $6,691).

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