For the fourth topic of our crypto trading fundamental , let's talk about
In the fast-paced world of trading, we often hear about "market orders," "limit orders," or "stop losses." These are common terms thrown around in countless tutorials and trading guides. But what if we take a step back and look at "Order Type 101" not as a beginner’s manual, but as a mindset — something personal, strategic, and uniquely yours?
An order type is not just a button you press — it’s a decision-making tool. A market order is like diving straight into the current. You're letting the tide take you where it wants.
Everyone talks price. Few talk liquidity. But if price is the face of the market, liquidity is its heartbeat — invisible, constant, and critical. So let’s break down #Liquidity101 , not by textbook terms, but by understanding what it really means to those who move through the markets with intention.
Liquidity is not just about volume. It’s about access. It’s how easily you can enter or exit a position without causing waves. In a highly liquid market, you’re a swimmer in a calm pool — dive in, swim out. In a dry market? Every move you make stirs the water. The price shifts because you moved.
Think of liquidity like oxygen. You don’t notice it until it’s gone. Try exiting a position in a low-liquidity asset — suddenly, your profit disappears into spread, fees, and bad fills. That’s why real traders ask first: “Can I get out?” before asking “Should I get in?”
Forget the hype. Liquidity doesn’t scream. It whispers. But if you listen closely, it tells you everything.