#Liquidity101 #Liquidity101

Ever heard the term “liquidity” in crypto or trading and wondered what it really means? 🤔

Here’s a quick breakdown:

💧 Liquidity = How easily you can buy or sell an asset without affecting its price too much.

🔹 High Liquidity

Many buyers & sellers

Fast trades

Small price slippage

✅ Example: Popular coins like BTC or ETH

🔹 Low Liquidity

Fewer buyers & sellers

Harder to enter/exit trades

Bigger price changes

⚠️ Common with lesser-known or new tokens

📈 Why it matters:

More liquidity = smoother trading experience, tighter spreads, and more stable prices!

So next time you trade, always check the liquidity first! ✅

#CryptoBasics #TradingTips #LiquidityMatters #CryptoEducation #DeFi #Web3 #Liquidity101