đĄ What Is Market Cap & Why It Matters MORE Than Price đ°đ
You see a coin trading at $0.02 and think:
âIf it just hits $1, Iâll be rich!â
Thatâs the classic newbie mistake.
Because price â value â Market Cap is what truly counts.
---
đą Market Cap Formula:
Market Cap = Price Ă Total Supply
Example:
Token A: $1 Ă 100M tokens = $100M market cap
Token B: $0.001 Ă 1T tokens = $1B market cap (10Ă bigger!)
So no, itâs not âcheapâ just because itâs under a dollar. Be careful.
---
â Why You Canât Just Dream About $1
Thinking âthis coin will hit $1 tooâ sounds niceâŠ
But going from $0.01 â $1 could mean needing billions in fresh capital.
Sometimes, more than Bitcoinâs total cap â thatâs not realistic.
---
â How I Use Market Cap in Real Life:
1. Compare smart â A $500 coin can have a smaller cap than a $0.01 token.
2. Stay grounded â I ask, âHow much money needs to flow in?â
3. Spot real gems â Low-cap, solid projects = room to grow.
---
đ Bonus Tip: Circulating Supply Matters!
Some tokens havenât released their full supply yet.
When they do? Prices can drop.
Read the tokenomics. Always.
---
Follow @mythoughts â No hype, just facts.
#CryptoBasics #TrumpTariffs MarketCapMatters #myThoughtsOnCrypto #TrumpTariffs