Liquidity is a very critical concept in cryptocurrency trading that every investor should understand. It refers to whether an asset like BTC can be bought or sold quickly without significantly affecting the price. High liquidity means there are a large number of buyers and sellers in the market, transactions are fast, and prices are more stable. Conversely, low liquidity means there are fewer market participants, which is prone to price slippage and transaction delays. This is especially true when trading large amounts. Major currencies like BTC and ETH are usually more liquid and more suitable for fast transactions. Be sure to consider liquidity before entering or exiting a position, it can determine the success or failure of your strategy. #Liquidity101