#Liquidity101 💧 #Liquidity101 — the key to effective trading!
Liquidity is the ability of an asset to be quickly bought or sold without significant price changes. The higher the liquidity, the easier it is to enter or exit a position at the desired price.
📊 How to assess liquidity?
I look at trading volume, order book depth, and the spread between buying and selling prices.
⚙️ Strategies against slippage:
— I use limit orders
— I avoid trading during news events
— I break large orders into smaller parts
Understanding liquidity = stability of trade execution!
#CryptoTrading #BinanceTasks #Liquidity101