PLAIN ENGLISH
What does Liquidity mean?
Liquidity describes the amount and depth of available buying and selling around an asset. Thin liquidity can make even small trades move price sharply, while deeper liquidity generally makes entry and exit easier.
IN THE WILD
How people use it
Every market, but especially important in small tokens.
EXAMPLE“The market cap looks big, but the actual liquidity is tiny.”
ALSO USED AS
liq