Trading

Market Cap

The total value of a coin's circulating supply, found by multiplying its price by the coins in circulation.

Market capitalization equals price times circulating supply. A coin at $2 with 500 million coins in circulation has a $1 billion market cap. It's the standard way to rank crypto by size and to compare a $20 token with a $0.0001 one on equal footing.

Treat the figure with care. A high price per coin means little on its own. And market cap can mislead when most of the supply is locked or held by insiders, since the price reflects only the small slice that actually trades. Fully diluted valuation tells a different, often larger, story.

Related terms