#Liquidity101 #Liquidity101 Liquidity in crypto refers to how easily a token can be bought or sold without causing a significant price change. High liquidity means smoother trading and tighter spreads, which is great for both new and experienced traders. Popular coins like BTC and ETH usually have high liquidity on major exchanges. On the other hand, low liquidity tokens can experience slippage, making it harder to execute trades at desired prices. Liquidity is often driven by volume, number of active traders, and exchange listings. Choosing assets with good liquidity is essential, especially when trading larger amounts or using strategies that rely on quick execution.