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A small trade can sometimes create a surprisingly large price movement on a DEX. The reason is often liquidity depth. In an AMM, the pool price is determined by the relationship between the assets in the pool. Every swap changes that relationship. If the pool has shallow reserves, a trade represents a larger portion of the available liquidity. The resulting change in the pool ratio can therefore produce higher Price Impact. #PCEAndPayrollsWeek #MicronEarningsAhead #HormuzTermsInFocus