📊 Importance of Liquidity in the Cryptocurrency Market
Liquidity refers to how easily a particular asset can be bought or sold without significantly affecting the price.
🪙 High Liquidity Coin:
Can be traded quickly and at a low cost (such as $BTC or $ETH ).
🪙 Low Liquidity Coin:
Hard to sell, and you may lose a lot upon exit.
Liquidity is important because it affects the speed of order execution and reduces the differences between the buying and selling price (spread).
As an investor, monitor liquidity before entering any coin.
