Liquidity refers to the ability to buy or sell assets quickly and at a stable price. On Binance, liquidity is crucial as follows !!!
Importance of Liquidity
1. Tighter Bid-Ask
2. Faster Execution
3. *Market Stability*: Less volatility.
Key points:
Makers : More market makers = more liquidity.
Binance's Liquidity Features
1. *Deep Order Books*: High liquidity.
2. *Market Makers*: Providing liquidity.
3. *Trading Pairs*: Variety of pairs.