storage options for MacBook Air


I've decided to setup my MacBook Air for digital audio, all of my music is currently saved on a WD external hard drive. My question is, would it be better to keep it on the external hard drive or move the music over to the MacBooks' 256 GB solid state drive? are there other storage options I should investigate? thank you!
scar972
Thank you for all the comments!
Looks like there's a lot of options and the Auralic units seems popular, this is something I'll have to look into a little later. I need to decide how much of a commitment I want to make to digital to shell out for a music server. I have so many sources to play with and have fun with all of them.
I'll setup what I have and add BitPerfect to see how it all sounds.
I have been doing the computer audio for about a year 256 gb. Is pretty small maybe 2000 cds not to mention high Rez. Files. It is my thoughts that the less the computer has to do the better the sound. So keep your music separate. 
I have set it up with the music on an external HD and really pleased with what I'm hearing at this point, thank you!
Hi scar - 
Glad things are sounding good.  If you haven't yet, get the BitPerfect.  It's only $10 bucks and easy to install and set up.  Might improve the SQ even further for you.  The BitPerfect people also provide great tech support.