#Liquidity101
💧 #Liquidity101 | Do you really understand what "liquidity" means?
In the crypto market, liquidity = the speed and ease of buying and selling without significantly impacting the price.
🔹 High liquidity:
✅ Fast execution
✅ Small price difference (Spread)
✅ Ideal for large traders
🔸 Low liquidity:
⚠️ Difficulty in executing trades
⚠️ Sharp price fluctuations
⚠️ Greater risk of slippage
🎯 The higher the liquidity, the greater the efficiency and safety in trading.
Think about liquidity before opening any position!
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