🔍 Liquidity 101 – What does liquid mean other than juice?
Liquidity is simply how easily an asset can be converted to cash without drama!
It's like how you can sell your new phone quickly at a price close to the market; that's how your investment is "liquid"... not you, your investment 😄
In the crypto world, currencies with high trading volume like BTC and ETH are considered highly liquid – you buy and sell without losing much in price.
As for currencies that hardly anyone has heard of? You might sell them after a week... but at a painful price!
💡Tip: Monitor trading volume and liquidity before you enter, because getting out won’t always be just as easy.
Money doesn’t like congestion, it loves liquidity!