What is Market Cap in Crypto?
Market capitalization in crypto is calculated by multiplying a token’s circulating supply by its current price. It helps assess a project’s size, value, and growth potential. A token with a low price may still have a high market cap, and vice versa. Understanding market cap — and the difference between circulating and fully diluted supply — is essential for informed investing.
A $0.01 token doesn’t mean it’s cheap.
A $400 token doesn’t mean it’s expensive.
The real measure? Market Cap.
🔸 Circulating Supply x Price = Market Cap
🔸 FDV (Fully Diluted Valuation) = Total Supply x Price
🔸 A low market cap = potential for growth, but also high risk
So next time you say “this is going to $1” — check the market cap first. 👀
👇 Ever got tricked by a “low price” token?