#Liquidity101 Liquidity in crypto refers to how easily an asset can be bought or sold without affecting its price. High liquidity means there are many buyers and sellers, resulting in smoother and faster trades with minimal slippage. Popular coins like BTC and ETH usually have high liquidity. Low liquidity can cause price volatility and delayed transactions. Centralized exchanges often offer better liquidity due to their user base, while decentralized exchanges may vary. As a trader, I prefer trading in high-liquidity markets to ensure efficiency and avoid large price gaps. Liquidity is a key factor in choosing where and what to trade.