#Liquidity101 Liquidity in crypto trading refers to how easily an asset can be bought or sold without affecting its price. High liquidity means there are many buyers and sellers, so trades execute quickly and with less slippage. Popular assets like BTC and ETH have high liquidity. In contrast, low-liquidity coins may experience price volatility and take longer to trade. Liquidity also depends on the exchange being used. Centralized exchanges (CEX) generally offer better liquidity than decentralized ones (DEX). For traders, understanding liquidity is crucial for planning efficient entry and exit points in the market.

#Liquidity101