#Liquidity101 #Liquidity101 – Let’s break down what liquidity really means in crypto & trading:
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💧 What is Liquidity?
Liquidity = How easily and quickly you can buy or sell an asset without affecting its price too much.
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🔹 High Liquidity
Lots of buyers & sellers
Tight bid/ask spread (prices are close together)
Fast execution
Small slippage
🧠 Think: BTC, ETH on Binance or Coinbase
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🔸 Low Liquidity
Few buyers/sellers