💧 Liquidity 101 – Why It Matters in Every Trade
Liquidity = how easily you can buy or sell a crypto without affecting its price.
🔹 High Liquidity:
– Fast trades
– Tight spreads (better prices)
– Less slippage
🔸 Low Liquidity:
– Harder to enter/exit positions
– Bigger spreads
– High risk of price manipulation
💡 Tip: Always check liquidity before trading — especially with low-cap altcoins. High volume ≠ high liquidity, so look at order book depth too.
What’s your strategy for dealing with low-liquidity assets?
👇 Drop your tips below!