Binance, a leading crypto exchange, offers high liquidity for many trading pairs, but understanding liquidity is key to effective trading. **Tips**:
1) Trade major pairs like BTC/USDT or ETH/USDT for tight spreads and high volume.
2) Check Binance’s order book for market depth.
3) Avoid low-volume altcoins to minimize slippage.
4) Use limit orders to control entry/exit prices.
5) Monitor Binance announcements for events affecting liquidity, like delistings.
6) Leverage Binance’s liquidity pools for better pricing in DeFi.
7) Trade during peak hours for optimal liquidity.
8) Use Binance’s API for real-time liquidity data to inform strategies.
