What Is the Primary Method to Mitigate Slippage When Executing a Large Crypto Trade?
The primary method is to use a limit order placed near the current market price, or to break the large order into smaller, time-sequenced limit orders, often managed by an algorithm like VWAP or TWAP. This avoids consuming the entire order book depth at once, reducing the price impact and the resulting slippage caused by crossing a wide bid-offer spread.