#Liquidity101 Crypto Today: Riding the Waves or Stuck in the Mud? š§$BTC
The crypto market is buzzing today ā some coins are moving fast, others feel like theyāre frozen in time. Why? One word: LIQUIDITY.
š¼ #Liquidity101: So You Donāt Buy High and Get Stuck Low
Liquidity = how easily you can buy or sell an asset without dramatically affecting the price.
š Why does liquidity matter?
š¢ High Liquidity = Fast & Fair
Lots of buyers and sellers
Tight spreads (small gap between buy/sell price)
Perfect for fast-paced trading
š“ Low Liquidity = Danger Zone
Hard to sell when you need to
Your own trade could crash the price
Only worth it if you're holding long-term (and trust the project)
š” Pro Tip:
Before aping into that āhot new coin,ā check the trading volume first. Donāt end up stuck in a ghost town. š
Ever got stuck holding an illiquid coin? Share your pain below š
