#CardanoDebate Liquidity in the cryptocurrency market is very important – Why is it important?
Because liquidity refers to how easily an asset can be bought or sold without affecting its price. If there are difficulties in buying and selling, the time margin for volatility and change is high, which means a wider range for both declines and increases.
Currencies like BTC, ETH, and BNB have very high liquidity, making trade execution fast and accurate. Consequently, the profit margin is quick.
When trading a pair like ETH/USDT, liquidity ensures that the trade is executed quickly without a significant price difference (slippage).
✅ Avoid low liquidity currencies as they may lead to unexpected losses.
