#Liquidity101 Liquidity in crypto trading refers to how easily a coin can be bought or sold without significantly impacting its price. High liquidity means there are many buyers and sellers, so trades are fast and price slippage is low. For example, BTC/USDT is highly liquid, while low-cap altcoins often have poor liquidity. Low liquidity can cause big price swings even with small trades, making it risky for large orders. Exchanges like Binance offer liquidity pools and deep order books to improve trading experience. Always check liquidity before trading, especially with new tokens. Good liquidity = safer and more efficient trading.