## Why Exit Liquidity is Every Investor's Blind Spot—And How to Spot It
You think you're making a smart investment. The asset's trending, the community's hyped, returns look promising. Then suddenly, the price crashes and you realize: you were never meant to profit. You were the exit liquidity.
**What Is Exit Liquidity Really?**
At its core, exit liquidity is simple: it's the fresh capital flowing in from newcomers that allows early investors to cash out at higher prices. The mechanism is straightforward but brutal. Early backers accumulate assets at low costs. Hype builds. Prices climb. Then
You think you're making a smart investment. The asset's trending, the community's hyped, returns look promising. Then suddenly, the price crashes and you realize: you were never meant to profit. You were the exit liquidity.
**What Is Exit Liquidity Really?**
At its core, exit liquidity is simple: it's the fresh capital flowing in from newcomers that allows early investors to cash out at higher prices. The mechanism is straightforward but brutal. Early backers accumulate assets at low costs. Hype builds. Prices climb. Then