#Liquidity101 Liquidity in the Market – Why is it Important?
Before you enter any trade, you must ask yourself:
Is this asset easy to buy and sell? 🤔
🔹 Liquidity = The ease of converting an asset to cash quickly and without a significant change in its price.
📈 High liquidity?
✅ Fast execution of trades
✅ Low spread (the difference between buying and selling price)
✅ Example: BTC or ETH on major exchanges