#Liquidity101
Liquidity: The Pulse of Markets 💧
Liquidity is the ability to quickly and easily convert assets into cash without significantly affecting the price. It reflects the flexibility of the market and its responsiveness to large transactions, making it a crucial factor in determining efficiency and stability.
The higher the liquidity, the faster and safer the trading; the lower the liquidity, the higher the risks and execution costs.
Liquidity is the market dynamic that ensures its continuity.
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