What are Bid Prices and Ask Prices?

Bid Price is the price at which someone is willing to buy an asset/security. The bid price represents the maximum price that a buyer is willing to pay for a share of stock or other security or an asset.

On the other hand, the Ask Price is the minimum price that a seller is willing to accept for that same security, stock, or asset.

The difference between the bid and ask price is generally called the Bid-Ask spread.