Glossary
Liquidity
Also written or said as: liq, liquid, illiquid, low liquidity
How much money sits in a coin's trading pool, which decides how easily you can buy or sell.
A coin with $10,000 of liquidity can be moved a lot by a $1,000 trade, while a coin with $1 million barely notices. Low liquidity means big price impact and painful exits. When the liquidity is pulled out of the pool entirely, holders are left with tokens nobody can buy, which is the classic rug pull.
Learn it properly inLiquidity and volumeReading a coin · 4 min readRelated words
This guide is for learning. It is not financial advice. Most memecoins go to zero and most people who trade them lose money. Only ever trade what you can afford to lose.