What is liquidity?Liquidity
How many orders are waiting near a price; the deeper the book, the harder it is to move the price.
Animation · liquidity
Learn “liquidity” in an animated lesson
- Crypto BasicsPlacing Orders on an Exchange: Maker and Taker
Buying crypto with USDT on an exchange: a market order fills right away but costs more in fees and may slip; a limit order is cheaper but might not fill.
- Forex BasicsBuy / Sell and the Spread
Why are you down the moment you open a trade? Watch Buy fill at the Ask and Sell fill at the Bid in real time, and see the spread widen at different times of day.
- Stock Trading: Next StepsLimit Orders
Fill only at my price or better. A limit order joins the order book queue and waits for someone to trade with.
- Stock Trading: Next StepsMarket Orders
No price preference, fill it now. Submit a market order yourself and watch it "eat" through the asks level by level.
- Stock Trading: Next StepsReading the Order Book
Everyone's buy and sell orders sit in a single table. Follow the guided tour and read it line by line.
- Stock Trading: Next StepsSlippage and Liquidity
Buying the same 2,000 shares can cost very different prices in a popular stock and a thinly traded one. Compare two order books to see why.
Related terms
See how “liquidity” works for yourself with an animation you can drag and play.
Go to “Placing Orders on an Exchange: Maker and Taker”