1. Large Cap Cryptocurrencies
Definition: These coins have a market cap of more than $10 billion.
Characteristics:
Considered the most stable and least volatile.
Have wide adoption and investor trust.
Lower risk, lower reward.
Examples shown:
Bitcoin (BTC) – The largest and most well-known cryptocurrency.
Ethereum (ETH) – Known for smart contracts and decentralized applications.
Ripple (XRP) – Focuses on real-time global payments.
Binance Coin (BNB) – Utility token for the Binance exchange ecosystem.
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2. Mid Cap Cryptocurrencies
Definition: Market cap is between $1 billion and $10 billion.
Characteristics:
Offer a balance of risk and reward.
Have growth potential but more volatility than large caps.
Some have strong tech and use cases.
Examples shown:
Polkadot (DOT) – Focused on interoperability between blockchains.
Avalanche (AVAX) – Known for high-speed and scalable blockchain.
Cosmos (ATOM) – Aims to create an "Internet of Blockchains".
Chainlink (LINK) – Provides real-world data to smart contracts (oracles).
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3. Small Cap Cryptocurrencies
Definition: Market cap is less than $1 billion.
Characteristics:
High volatility, higher risk.
Potential for huge gains or losses.
Often emerging projects with innovative ideas.
Examples shown:
THORChain (RUNE) – Enables cross-chain swaps without using wrapped assets.
Fantom (FTM) – Focuses on high-speed transactions and smart contracts.
PancakeSwap (CAKE) – A decentralized exchange built on Binance Smart Chain.
Helium (HNT) – Decentralized wireless network for IoT devices.
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Summary:
Category Market Cap Range Risk Level Growth Potential
Large Cap More than $10 Billion Low Moderate
Mid Cap $1 Billion – $10 Billion Medium High
Small Cap Less than $1 Billion High Very High