𝗠𝗮𝗿𝗸𝗲𝘁 𝗖𝗮𝗽 𝗘𝘅𝗽𝗹𝗮𝗶𝗻𝗲𝗱: 𝗪𝗵𝘆 “𝗖𝗵𝗲𝗮𝗽” 𝗧𝗼𝗸𝗲𝗻𝘀 𝗔𝗿𝗲𝗻’𝘁 𝗔𝗹𝘄𝗮𝘆𝘀 𝗮 𝗚𝗼𝗼𝗱 𝗗𝗲𝗮𝗹
You see a coin trading at $0.005 and think:
“Easy 100x if it just hits $0.50!”
But here’s the truth: price means nothing without context.
The key metric that actually matters?
Market Cap.
✅ What Is Market Cap?
Market Cap = Token Price × Circulating Supply
Let’s compare:
Token A: $0.005 × 200B supply = $1B market cap
Token B: $2.00 × 10M supply = $20M market cap
Surprise: Token A is 50x bigger in valuation than Token B — despite looking “cheap.”
❌ Why Thinking “It’ll Hit $1 Someday” Is Dangerous
Let’s say a meme coin is at $0.01 with a supply of 500B.
To hit $1, it would need a market cap of $500 billion — bigger than Ethereum.
That’s not a price target… it’s a fantasy.
✅ How Smart Investors Use Market Cap
Find undervalued coins
A project with a $30M market cap and growing users has more upside than a $5B hype token.
Avoid illusions
You stop chasing coins just because they’re priced under $1.
Set realistic targets
You measure gains based on possible market cap growth — not dream prices.
⚠️ Don’t Forget: Circulating Supply Changes Everything
If only 10% of tokens are unlocked now, future unlocks might dilute the price.
Always check the tokenomics section before investing.
Bottom Line:
A low price doesn’t mean a low market cap.
Market cap reveals the true value.
Think like a pro. Invest with clarity — not wishful thinking.
#Market