Crypto Market Cap: What It Means and Why It Matters
Introduction The world of cryptocurrency is filled with terms and metrics that can be confusing at first. One of the most frequently used — and most important — is market capitalization, commonly known as market cap. Whether you're a beginner investor, an enthusiast, or a seasoned trader, understanding crypto market cap is crucial for making informed decisions in the fast-paced crypto ecosystem. In this post, we will break down what crypto market cap means, how it’s calculated, why it matters, and how it can help you choose the best cryptocurrencies to invest in. We’ll also explore the differences between small-cap, mid-cap, and large-cap coins — and how these categories can affect your investment strategy. --- What Is Crypto Market Cap? In simple terms, crypto market cap is the total value of a cryptocurrency. It’s calculated by multiplying the current price of a coin or token by its circulating supply. > Market Cap = Current Price × Circulating Supply For example, ...