Beginners look at coin prices, while experienced investors look at market capitalization: a 100% increase and a 10x increase are fundamentally different in terms of starting point.
"This coin is 0.01 USD, so cheap!" "Just a few cents, if it rises a little more, it will double!" Beginners are often misled by the coin price itself.
However, a coin being cheap does not mean it has room to rise. The key is to look at its market capitalization.
Experienced investors determine whether a coin can increase 10 times not by looking at the price, but by assessing whether the market cap is small enough, whether the circulation is healthy, and whether the project has catalysts.
A coin priced at 0.01 USD, if its market cap is already 1 billion, has much less room to rise 10 times than a coin priced at 1 USD but with a market cap of only 10 million. Coin price is merely a facade; market cap is the underlying logic.
Market cap determines the growth ceiling of a coin, while price is just a unit of conversion.
More experienced investors even study FDV (Fully Diluted Valuation), circulating market cap, and lock-up release curves to accurately assess whether a coin is worth investing in.
Beginners think they are "buying cheap," but in reality, they are picking up at a high point; experienced investors have already calculated which coins are poised to explode in their "valuation gap."
Understanding the market cap structure is when you truly start investing, rather than gambling.