03/08/2024
๐ง๐ต๐ฒ ๐น๐ถ๐พ๐๐ถ๐ฑ๐ถ๐๐ ๐ผ๐ณ ๐ฎ ๐ฐ๐๐ฟ๐ฟ๐ฒ๐ป๐ฐ๐ ๐ฝ๐ฎ๐ถ๐ฟ ๐ฑ
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In other words it is the ability to liquidate any amount you need (sell, for example) when you need it, without tangible loss of time and income๐ค
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๐ง๐ต๐ฒ ๐ต๐ถ๐ด๐ต๐ฒ๐ฟ ๐๐ต๐ฒ ๐น๐ถ๐พ๐๐ถ๐ฑ๐ถ๐๐ ๐ผ๐ณ ๐๐ต๐ฒ ๐ฝ๐ฎ๐ถ๐ฟ, ๐๐ต๐ฒ ๐บ๐ผ๐ฟ๐ฒ ๐ฟ๐ฒ๐น๐ถ๐ฎ๐ฏ๐น๐ฒ ๐ฎ๐ป๐ฑ ๐ฎ๐๐๐ฟ๐ฎ๐ฐ๐๐ถ๐๐ฒ ๐ถ๐ ๐ถ๐ ๐ณ๐ผ๐ฟ ๐๐ฟ๐ฎ๐ฑ๐ถ๐ป๐ด. This implies that there is strong demand and high supply for this asset.
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โ๏ธThe higher the liquidity of the market, the faster you will be able to complete a deal on the position you are interested in.
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The price in a highly liquid market moves gradually, in small steps๐พ Less liquidity leads to large price jumps as well as gaps in the chart๐
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๐ช๐ต๐ฎ๐ ๐บ๐ฎ๐ท๐ผ๐ฟ ๐ฐ๐๐ฟ๐ฟ๐ฒ๐ป๐ฐ๐ ๐ฝ๐ฎ๐ถ๐ฟ๐ ๐ฑ๐ผ ๐๐ผ๐ ๐๐ผ๐ฟ๐ธ ๐๐ถ๐๐ต? ๐
