📘 What is liquidity on Binance?
Understanding it is key to trading successfully.
🔹 Liquidity = The ease of buying or selling an asset without significantly affecting its price.
On Binance, markets with high liquidity have low spreads, fast execution, and less slippage.
🔸 Example: BTC/USDT has high liquidity 👉 ideal for active trading.
In contrast, lesser-known tokens may have low liquidity 👉 higher risk of sharp price fluctuations.
🧠 Tip: Before trading, check the 24h volume and the depth of the order book.
More volume = more liquidity = better conditions for you.