#Liquidity101 Liquidity is a vital concept in the financial markets, particularly in cryptocurrency trading. It refers to how easily an asset can be bought or sold without significantly impacting its price. High liquidity means you can quickly enter or exit positions, ensuring that your trades execute at or near your desired price. This is often found in major cryptocurrencies like Bitcoin and Ethereum, which have a large number of buyers and sellers. Conversely, low liquidity can lead to slippage, where you may not get the price you expect. Understanding liquidity can help traders make informed decisions and avoid costly mistakes in their trading strategies. Always be mindful of the liquidity of the assets you’re dealing with! #Liquidity101