Spread
Difference between best bid and ask — cost for the taker.
Spread is the difference between the best ask (sell) price and the best bid (buy) price in the order book. It represents the implicit cost of every market transaction.
Example:
•Bid: $60,000 (buyer offers)
•Ask: $60,020 (seller asks)
•Spread: $20 or 0.033%
What it tells about the market:
•Narrow spread (BTC/USDT < 0.01%) — high liquidity, healthy market
•Wide spread (altcoin 1-5%) — low liquidity, risk
•Spread widens during:
- Weekends and off-hours
- Extreme volatility
- Market shocks
Market maker vs taker:
•Market maker: places limit order, adds liquidity, gets lower fees
•Market taker: takes from order book, pays spread and taker fee