#Liquidity101 Why does liquidity determine everything?

You may find a top token, a great price, and even be right…

But without liquidity, you won't be able to buy or sell at a favorable price.

📌 What is liquidity?

Liquidity is how easily you can buy or sell an asset without a significant change in price.

• 🔼 High liquidity = small spread, quick transaction.

• 🔽 Low liquidity = large spread, slippage, order hangs.

📊 Where is liquidity higher?

• ✅ CEX (Binance, Bybit) — order book depth, millions in volume.

• ⚠️ DEX (Uniswap, PancakeSwap) — depends on the pool. For new tokens — almost 0.

• 🪙 Low market cap tokens = almost always low liquidity.