What is a cryptocurrency market cap?

It’s similar in cryptocurrency, except cryptos don’t represent equity in a company like stocks. The market cap of a coin is simply what you’d get if you added up every available coin at the current price per coin. Imagine if you cashed out every Bitcoin in existence at the exact same time. That’s the market cap.

How does market capitalization affect cryptocurrencies?

Market capitalization is used to determine the ranking of cryptocurrencies. The higher the market cap of a particular crypto coin, the higher its ranking and share of the market. Crypto market cap is calculated by multiplying the total number of coins in circulation by its current price.

How much is a bitcoin market cap?

Imagine if you cashed out every Bitcoin in existence at the exact same time. That’s the market cap. For example, Bitcoin’s Market Cap is 18,330,762 BTC X $7200 = $132 billion, at the time of writing. This can also be referred to as the total value of bitcoin.

What is the difference between mid-cap and small-cap cryptocurrencies?

Mid-cap cryptocurrencies have market caps between $1 billion and $10 billion – they generally are considered to have more untapped potential upside but also higher risk. Small-cap cryptocurrencies have a market cap of less than $1 billion and are most susceptible to dramatic swings based on market sentiment.