#Liquidity101 Liquidity is a crucial factor in crypto trading, enabling efficient entry and exit points. Highly liquid assets like Bitcoin (BTC) and Ethereum (ETH) can be traded quickly without significant price fluctuations. In contrast, low-liquidity tokens often experience slippage and order delays. To navigate this effectively, it's essential to assess 24-hour trading volumes and order book depth before making a trade. Good liquidity leads to tighter spreads, benefiting both long-term investors and day traders. By prioritizing liquidity in your trading strategy, you can optimize your results and minimize potential losses.