What’s The Meaning Of Liquidity In Crypto?

Liquidity in cryptocurrency refers to how easily and quickly you can buy or sell a cryptocurrency without causing a big change in its price. High liquidity means there are lots of buyers and sellers in the market, making it easy to trade. Low liquidity means fewer buyers and sellers, which can make trading slower and cause bigger price changes. For example, Bitcoin has high liquidity because many people trade it daily. Liquidity is important because it ensures smooth trading and stable prices, which is good for both traders and investors