#Liquidity101 The Hidden Force Behind Every Trade
Ever bought into a pump… only to get wrecked on slippage? 😩 That’s liquidity — and it matters.
🔍 What is liquidity?
It’s how easily an asset can be bought/sold without major price swings. High liquidity = tighter spreads, smoother fills. Low liquidity = wild slippage, poor execution, or even failed trades.
📉 Before I enter any position:
I check the order book depth, volume, and spread — especially for altcoins or pairs with low 24h activity.
🎯 Pro tips to reduce slippage:
• Use limit orders instead of market buys
• Trade during peak hours
• Avoid jumping into thin pairs during news events
Liquidity isn’t just for whales. It’s a pro trader’s edge. 💼
👇 How do you factor liquidity into your trades?