> For the complete documentation index, see [llms.txt](https://ion-finance-1.gitbook.io/ion-finance-doc/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://ion-finance-1.gitbook.io/ion-finance-doc/concepts/liquidity-concentration.md).

# Liquidity Concentration

Liquidity providers select specific [bins](/ion-finance-doc/concepts/bin.md) to supply liquidity. Rational providers will likely choose bins where high trading volumes are anticipated. This targeted approach means liquidity tends to be concentrated in areas where future trading is expected. As market conditions and prices shift, rational liquidity providers adjust their allocations, ensuring a consistently deep liquidity environment for traders.
