#Liquidity101

Liquidity refers to how easily a crypto asset can be bought or sold without affecting its price. High liquidity means fast trades and tighter spreads—great for traders. Low liquidity can cause price slippage and delays. Major coins like BTC and ETH have high liquidity on top exchanges. Newer or low-cap coins may struggle, especially on DEXs. Always check a token’s trading volume before entering a position. Low liquidity = high risk. For smoother trades, stick with pairs and platforms that offer deep liquidity. It’s not just about the coin—it’s about how easily you can get in or out.