#Liquidity101 Liquidity measures how easily a crypto can be traded without impacting its price. High liquidity means tight spreads and low slippage; low liquidity causes price swings. CExs like Binance offer high liquidity for pairs like BTC/USD due to large order books, ensuring stable trades. DEXs like Uniswap use liquidity pools, but small pools lead to slippage, e.g., 5% price shifts on low-cap tokens. I stick to CExs for liquid coins to avoid losses. Once, low DEX liquidity cost me profits on a trade. Check order books or pool sizes before trading!