๐ #Liquidity101 โ Why It Matters in Crypto Markets
Liquidity in crypto refers to how easily a token can be bought or sold without impacting its price too much. A highly liquid asset means thereโs strong buying/selling activity โ which leads to faster execution and better prices.
For example, BTC/USDT is a very liquid pair, so your trades are likely to go through quickly and at market value. On the other hand, trading a low-cap altcoin may result in slippage โ when you pay more or sell for less than expected.
High liquidity = less risk, better prices, and smoother trading ๐
Always check a token's volume and order book before trading!
