Bitget Introduces Depth Tiers Measurement Guide for Exchange Liquidity
Bitget has developed a guide to help users measure exchange liquidity at specific depth tiers, specifically 5/10/50 bps. This approach aims to gauge true market depth beyond surface volume and reveal slippage risks in volatile crypto pairs.
Gracy Chen from Bitget explains that tracking liquidity at these tiers is essential for traders who want to compare platforms on real liquidity metrics rather than just headline trading volume. By using 5/10/50 bps depth tiers, users can better understand the liquidity of an exchange and make more informed decisions about their trades.
The guide emphasizes the importance of considering market depth beyond surface volume, as high trading volumes can sometimes be misleading. By examining liquidity at multiple levels, traders can identify potential risks and opportunities in the market.