#Liquidity101 Liquidity in the Market – Why is it Important?

Before you enter any trade, you must ask yourself:

Is this asset easy to buy and sell? 🤔

🔹 Liquidity = The ease of converting an asset to cash quickly and without a significant change in its price.

📈 High liquidity?

✅ Fast execution of trades

✅ Low spread (the difference between buying and selling price)

✅ Example: BTC or ETH on major exchanges