#Liquidity101
💧 #Liquidity101
Heard the term liquidity but not sure what it means in crypto? Let’s break it down 👇
🔹 Liquidity = How easily an asset can be bought or sold without affecting its price too much.
📊 High Liquidity
✅ Easy to enter/exit trades
✅ Smaller spreads
✅ More stable prices
🌪️ Low Liquidity
⚠️ Slippage risk
⚠️ Bigger spreads
⚠️ Price volatility
💡 Want smoother trades? Stick to pairs with high trading volume and strong liquidity!
🔍 Pro tip: Check liquidity before jumping into new tokens. It can save you a lot of surprises.
💬 Got caught in a low-liquidity trap before? Share your story 👇
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