#Liquidity101 Liquidity is the key to unlocking market flexibility. It refers to the ability to buy or sell an asset quickly and at a fair price ๐Ÿ’ธ. In other words, it measures how easily you can convert an asset into cash or another asset without significantly affecting its market price ๐Ÿ“Š.

*Types of Liquidity ๐Ÿ“ˆ*

1. *Market Liquidity ๐Ÿ’ผ*: The ability to buy or sell an asset in the market without significantly affecting its price. Think of it like selling a house ๐Ÿ  - if it's in a hot market, you can sell it fast and for a good price!

2. *Funding Liquidity ๐Ÿ’ธ*: The ability to meet financial obligations, such as paying debts or covering margin calls. Imagine having enough cash to pay your bills on time .