#Liquidity101 ๐จ Liquidity 101: Why It Matters on Binance ๐จ
Liquidity = how easily you can buy/sell an asset without impacting its price.
๐ง On Binance:
High liquidity = tight spreads, fast execution
Low liquidity = higher slippage, volatile pricing
Why it matters: โ Easier trading for large volumes
โ Better price discovery
โ Less market manipulation
Tips: ๐น Trade in high-volume pairs (BTC/USDT, ETH/USDT)
๐น Watch the order book depth
๐น Use limit orders to control slippage
Whether you're spot trading or using futures, liquidity is king. ๐$BTC $BNB