The bid-ask spread is the difference between the highest price a buyer is willing to pay and the lowest price a seller is willing to accept. It represents an indirect trading cost: if you buy at the ask price and immediately sell at the bid price, you lose the value of the spread even if the market price hasn’t changed. Highly liquid markets generally have narrower spreads, while less liquid markets tend to have wider ones. Learn how to trade crypto or how to trade with Solflare.