WithMonis - مع مؤنس

Following the previous post.. If you saw the price of a 1 dollar coin, pressed buy, but the trade executed at 1.03 dollars. Why?

This is called price slippage
Slippage.

Price slippage is the difference between the price you expect your buy order to be executed at, and the price it is actually executed at.

For example, you want to buy a coin at 1 dollar, and you have certain profit in mind—but at that time there aren’t enough coins available at that price to cover your entire order.

In this case, the system starts buying for you from the next available orders:

Part at 1 dollar
and part at 1.01
and part at 1.03

And so your average entry price will be higher than the price you saw, meaning the profit you calculated in your numbers will be different.

Slippage usually increases for these reasons:

First: Liquidity is low
Second: The trade size is large
Third: The market moves quickly
Fourth: You use a buy order (market order)

Therefore, the price shown on the screen is not always the price you will actually get.

The stronger the liquidity, the closer the execution will be to the price you expected.

Got it? Agreed? 😄

#BTC #liquidity #creatorpad

‼️ Many people think that if a coin has a large trading volume, then buying and selling it is always easy. And that’s wrong..

Because the most important figure is sometimes (liquidity), not trading volume.

Liquidity means: can you buy or sell a large amount of the coin without the price moving strongly?

For example, a coin might have a daily trading volume of $100 million, but its liquidity is weak. If someone tries to sell a large amount, it will cause a clear drop in the price.

Whereas another coin with the same trading volume, but deeper liquidity, will allow you to enter and exit with large amounts with less impact on the price.

Liquidity means: how many real buyers and sellers are actually close to the coin’s current price.

So, for example, if you have a coin priced at $1, and it has strong liquidity, then in this case you can sell a large quantity close to the $1 price, because there are enough buy orders.

But if its liquidity is weak, you might start selling at $1, then be forced to sell the rest at $0.95, $0.90, and $0.80 because there aren’t enough buyers at the same price level you want.

That’s why a smart person doesn’t focus only on trading volume, but also asks about these things:

How much liquidity is there? Does the order book have good depth? Can I exit the trade easily if conditions change?

Entering at the right time matters, but your ability to exit the coin at the time you want is also a very important matter.

#BTC #ETH #creatorpad

🚨 A coin priced at $0.10 is not necessarily cheap.

To truly know the project’s value, don’t just look at the coin’s price. You also need to know how many coins are in the market.

That is:

Market Cap = Coin Price × Current Circulating Supply.

As for FDV, it’s the estimated value of the project if the entire supply of that coin were traded in the market.

Example:

The coin price is $0.10, and the number of coins currently circulating in the market is 1 billion coins.

The market cap here is $100 million.

But if the total supply is 10 billion coins, then the FDV would be $1 billion.

When you see a big difference between market cap and FDV, that means there is a large amount of coins that have not entered the market yet. This is a risk that threatens the coin’s price.

So here you need to ask these questions:

When will these coins be unlocked and made available for trading?
Who owns them?
Can the market absorb them?

A coin’s price may look low on the surface, but the project valuation could be very high.

That’s why before you say: “This coin is cheap,” check the market cap and FDV, and the coin unlock schedule.

#BTC #creatorpad #BinanceSquare

Every period of upturn and market recovery, someone shows up and says:

"I entered from the bottom and my profit reached 300%."

But after a while you discover that in reality he didn’t come out of his winning trades. Instead, he was watching his profits rise and then they gradually faded away.

The problem wasn’t the entry point—rather, he doesn’t know when the correct time to sell is.

The market doesn’t reward the person who only watches profits on the screen. It rewards the person who has a plan.

What do I mean by (a clear plan)?

I mean the following:

When will he reduce? When will he recover his capital? And when will he exit completely?

Unrealized profit is not guaranteed profit. It’s just a number that changes every second, and it can easily and quickly turn into a loss if you don’t have a clear plan.

One of the most important lessons I learned in this market is:

Don’t enter the trade knowing only why you’re buying. Enter knowing also when you intend to sell.

#Trading #Investing #creatorpad #binancesquare

A massive industry has remained outside DeFi for years: reinsurance.

This project connects DeFi with the reinsurance sector.

Reinsurance simply means “insurance for insurance companies.” An insurance company transfers part of its risk to another company in exchange for part of the premiums.

This is where RE Protocol comes in.

It allows users to deposit stablecoins, then channels that capital through licensed insurance companies into fully collateralized reinsurance contracts.

Instead of relying only on speculation or token incentives, the protocol aims to link part of the yield to real insurance activity and premium income.

The idea in simple terms:

Stablecoins on-chain

Then…

Funding real reinsurance contracts

Then…

Yield generated from economic activity outside crypto

—
@ReProtocol
#ReProtocol #DeFi #RWA

There are many good currencies other than those mentioned in the post, but I only mentioned (some) of the ones the community focuses on and talks about. The purpose of the post is educational and awareness-raising to clarify the issue of (not being swayed by the community's words) always without thinking.