#Liquidity101 Liquidity in Crypto: What It Means and Why It Matters
Liquidity is one of the most important yet often misunderstood concepts in the world of cryptocurrency. Whether you're trading Bitcoin on a centralized exchange or swapping altcoins on a DeFi platform, liquidity plays a crucial role in determining how easily and efficiently you can buy or sell assets.
This article will break down what liquidity is, why itโs essential in crypto markets, and how it affects traders, investors, and the overall market.$BTC