🔹 What is “Liquidity” and why is it important

In crypto, it's often written:

“This coin has low/high liquidity”

But what does this mean in simple terms? 🤔

💧 Liquidity

This refers to how easy it is to buy or sell a coin without losing money.

High liquidity = can quickly buy/sell

Low liquidity = hard to sell, price may drop significantly

🔹 Example

Imagine you want to sell 1 BTC.

If many people are buying/selling BTC → you sell quickly at market price

If there are few participants → you will have to sell for a lower price, or wait

✅ Conclusion

For a beginner:

it's better to start with coins that have high liquidity

they are safer and easier to learn

#CryptoBeginners #CryptoEducation💡🚀 #Square #Binance