Liquidity Reversal Ahead: What it Means for Crypto Markets
The crypto scene is definitely buzzing with the news of a liquidity reversal lurking around the corner. This isn’t just idle talk; industry heavyweights like Cathie Wood are throwing their hats in the ring, pointing towards a Federal Reserve policy shift as the likely catalyst. Could this herald a resurgence for digital assets? Let’s unpack what this means for the crypto arena.
The Meaning of Liquidity in Crypto
Liquidity. It’s basically how quickly you can buy or sell your crypto without sending prices into a spin. High liquidity is the name of the game if you want stability. But lately, liquidity has been tighter than a drum, especially for the smaller coins that are usually more sensitive to these fluctuations.
