An area or arena, online or offline, in which commercial dealings are conducted.
A market is a place where buyers and sellers get together.
Markets determine the price of a cryptocurrency or asset in question.
The same holds for a perfectly competitive market. One of the key characteristics of perfect competition is high levels of liquidity and transactions.
The price is set by supply and demand. Sellers determine the supply, meanwhile buyers determine demand.
A perfectly competitive market has diminished ability to charge prices at a discount or a premium.
The balance and supply and demand can be disrupted by other variables. These include technological innovation, regulation among other factors.
The most liquid market in the world is the forex market.
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