#Liquidity101
💧 Liquidity 101: Why It Matters in Crypto
What is liquidity?
It means how easy it is to buy or sell crypto without changing the price too much.
🟢 High Liquidity = Good
You can buy/sell fast
Prices stay stable
Less slippage (price difference)
🔴 Low Liquidity = Risky
Trades are slow
Prices can swing a lot
Hard to sell quickly
🏦 Real Example
Selling 1 $BTC
On Binance (high liquidity), it sells fast at market price.
On a small exchange (low liquidity), it may sell slowly or at a lower price.
💡 Why It Matters
📈 Faster trades
💰 Better prices
🔒 Less risk
🔍 How to Check Liquidity on Binance
Look at 24h trading volume
Check the order book
Watch for small price gaps between buy/sell
✅ Tip Trade popular pairs like $BTC /USDT or $ETH /$USDT for better liquidity.
More liquidity = safer, smoother trading. Always check it before you trade!
