Why do you need to know the meaning of "Market Cap"?

Many people see a cryptocurrency with a low price and say: "It's easy to reach $1".

But the truth depends on the market cap.

The formula is simple:

Market Cap = price × circulating supply

• A cryptocurrency priced at 0.01$ with a supply of 100 billion → its market cap is $1 billion.

• To reach $1, its market cap has to be 100 billion$ (not always logical).

Don't judge a cryptocurrency by its price alone; check the market cap to know if growth is possible or difficult.