What does liquidity mean in prediction markets? | HiYesNo Glossary

Updated: 2026-06-27 · Author: HiYesNo Editorial Team · Type: Glossary guide

Liquidity describes how much tradable depth is available in a market. Better liquidity usually makes buying, selling, and adjusting positions smoother.

Key points

  • Low liquidity can widen spreads and make execution prices differ from expectations.
  • Before placing a large order, review available depth and executable prices.
  • Liquidity is not a profit guarantee; it is a signal of trade execution quality.

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