#Liquidity101

Hello everyone 👋

Let's talk about liquidity and its importance in cryptocurrency trading - especially considering this WCTUSDT deal 📉. You'll notice it's currently trading at a loss of -34%. One of the main reasons? Low liquidity.

When liquidity is low, it means there aren't enough buyers and sellers in the market. Therefore, even small trades can cause significant price fluctuations - making it difficult to enter or exit a trade without losing value. This is what we call slippage.

Before entering any trade, always check the trading volume and order book. This helps you avoid falling into a trading trap. Trade wisely.