💧 #Liquidity101 – Why It Matters in Crypto
Liquidity isn’t just a buzzword — it’s crucial to every trade you make.
🔹 What is Liquidity?
It’s how easily an asset can be bought or sold without affecting its price.
🔹 High Liquidity =
✅ Fast trades
✅ Tighter spreads
✅ Less price slippage
✅ More stable market
🔹 Low Liquidity =
⚠️ Slow execution
⚠️ High volatility
⚠️ Big price swings
⚠️ Difficulty exiting trades
💡 Pro tip: Always check liquidity before trading — especially with altcoins or new tokens.