#Liquidity101 💧What Is Liquidity and Why It Matters in Crypto 💡

Liquidity refers to how easily you can buy or sell an asset without causing major price changes. High liquidity means smooth trades, tighter spreads, and minimal slippage — crucial for active traders and big players. Low liquidity, on the other hand, leads to volatility and unpredictable price swings. 🔄

Centralized exchanges (CEXs) usually have higher liquidity due to large user bases, while decentralized exchanges (DEXs) depend on liquidity providers (LPs) to keep pools healthy. 🌊

Whether you're yield farming, swing trading, or swapping tokens, liquidity is the invisible force shaping your outcomes.#Write2Earn