#交易流动性

What is trading liquidity? Why should you care?

Liquidity, simply put, is about how easily transactions can be executed.

When market liquidity is high, it means:

• Fast buying and selling

• Narrow spread (Bid-Ask Spread is tight)

• Not easily subject to slippage

• Technical analysis is more accurate

On the other hand, in a market with poor liquidity:

• Slippage occurs as soon as you enter

• Prices are manipulated by large players

• Easily subject to being liquidated

• High chance of technical patterns failing

How to judge liquidity?

✅ High trading volume

✅ Many buy and sell orders

✅ Narrow spread

✅ Low slippage

Practical advice

• Choose to trade assets with high liquidity (like BTC, ETH)

• Avoid obscure small coins and newly listed contracts

• Combine with 'liquidity zones' to find breakout points

• Check order book depth before each entry and exit