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Can you explain How memecoin liquidity is calculated

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I started a youtube channel for solana memecoins, and want to cover how liqudity is calculated, for example if there is a memecoin with 1 billion supply 1 million market cap and $100,000 in liquidity, How is that figured out,and lets say there is a $50,000 dollar sell would that turn the price 50% down to $500,000. It seems like with my coin at least $1000 dollar buy adds $10,000 to market Cap. Any info shared about how that is figured out will be greatly appreciated Thanks.


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