# Price Impact Price impact is a protective measure designed to prevent market manipulation. When the size of opening a position or burning PUSD is large enough to significantly affect the overall market liquidity, closing the position or minting PUSD within the next two hours will incur a certain price impact, and vice versa. This impact fluctuates based on subsequent trading activity and decreases linearly over time. Essentially, any trading activity's price impact on subsequent trades will gradually reduce to zero within one hours. For most users engaging in normal trading activities, price impact is typically negligible or non-existent. If you encounter a high price impact, it is advisable to wait for a while before trading, as high price impacts are typically temporary. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.pure.cash/pure.cash/longonly/price-impact.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.