#Liquidity101
💧 #Liquidity101 | What does "liquidity" mean in the trading world?
Liquidity = The ease of buying or selling an asset without significantly affecting its price.
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🟢 High liquidity:
The market is active
Many orders (buy/sell)
Small price spreads
Fast execution without significant slippage
Example: BTC/USDT on Binance = Excellent liquidity
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🔴 Low liquidity:
Difficulty in executing large orders
Price volatility when buying/selling
Wide price spreads
Example: New coins or small projects on .