For any given coin, you will be able to select a custom time period, data frequency, and currency. The feature is free to use and you can also export the data if you want to analyze it further. Perhaps the most notable pitfall of the crypto market cap calculation is found in the mechanics of the cryptocurrency market. As the crypto market tends to be more volatile than the stock market, any significant buy or sell order can lead to a major price movement that will affect a project’s market cap. This is why we often use a metric known as redemption impact score which measures the likelihood of a large order affecting the price of a cryptoasset.

The company will hold USD reserves equal to the number of SCX tokens in circulation, and will provide users the option to redeem 1 SCX token for $1. If the price of SCX is lower than $1, demand for SCX will increase because traders will buy it and redeem it for a profit. The crypto calculator automatically updates related fields and values upon input for increased user experience. For instance, entering a crypto price prediction updates the values for new market cap, multiplier, new value, new rank, and more. In most cases, ICOs are ideas that need money to be realized.

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Asurvey by the World Economic Forumconcluded that in 2027, 10% of the world’s GDP will be held in digital assets. According to statistics from theWorld Bank, global GDP was approximately $85.8 trillion in 2018. If the above estimates are correct, in 2027, $12.6 trillion of the world’s GDP will be stored in cryptoassets. There is nothing more harmful to a cryptocurrency than a bad reputation.

This demonstrates how easily market cap can be manipulated when a coin has meager trading volume. The same occurs when a DOGE whale, or large investor holding a significant percentage of a cryptocurrency, decides to dump it all at once. The cryptocurrency’s price plummets, followed by its market cap.

How can cryptoassets with low trading volumes have high market caps?

For example, high crypto market cap converter cap could indicate that a cryptocurrency is resistant to volatility. Low market cap indicates the opposite, that major news events or whale activity can significantly impact price. To get a strong read on volatility, you’d have to combine market cap with other metrics like market depth or transaction volume. Crypto market cap has major drawbacks, yet it remains the go-to indicator for many investors, analysts, and commentators. At best, market cap can serve as a jumping-off point for evaluating a cryptocurrency. But it is only truly helpful when used in tandem with other metrics like trading volume.

In 2017, the planet’s narrow money was worth about $36.8 trillion. According to data from the World Bank, the 2018 market capitalization for all listed domestic companies was $68.6 trillion. This means that explosive growth will be required for the market cap of cryptocurrencies to rival the market cap of checking accounts or stocks. To determine the maximum cryptocurrency market cap, we need max values for price and circulating supply.

Let’s quickly calculate the market cap of Bitcoin as an example. The Bitcoin price is currently $20,348 and there are 19.31 million BTC coins in circulation. If we use the formula from above, we multiply the two numbers and arrive at a market cap of $392.94 billion. Most exchange aggregators post data directly from token projects orcrypto exchanges. Most of the time, if you use an aggregator, you’ll have to perform independent research to verify the reported information. This type of price manipulation is usually applied to low market cap and low-volume cryptoassets, although, depending on the scale, it can work in more developed markets as well.

• Bitcoin was initially proposed in 2008 and launched in early 2009.
• These platforms are designed to provide the best possible prices for both buyers and sellers.
• That way, you’ll have a well-rounded strategy that minimizes risk.
• That is why many market participants favor cryptocurrencies with low market caps.

They’re solely focused on separating novice investors from their money. This is a common question and an understandable one given that there are thousands of actively traded cryptocurrencies. The variety of investment opportunities can result in analysis paralysis. For most assets, Transparent Volume ranges between 20% and 70%. This goes to show the level of manipulation that exists in the cryptocurrency market. If, for example, Bitcoin is traded against Ethereum , the exchange would record two transactions – a buy and a sell.

Bitcoin is the oldest and most established cryptocurrency, and has a market cap that is larger than all of the other cryptocurrencies combined. Bitcoin is also the most widely adopted cryptocurrency, and is accepted by practically all businesses that deal with cryptocurrency. The word „altcoin” is short for „alternative coin”, and is commonly used by cryptocurrency investors and traders to refer to all coins other than Bitcoin. Thousands of altcoins have been created so far following Bitcoin’s launch in 2009. A cryptocurrency is a digital currency that keeps records about balances and transactions on a distributed ledger, which is most commonly in the form of a blockchain. Cryptocurrencies enable peer-to-peer transactions between participants across the globe on a 24/7 basis.

Our terabytes of raw and preprocessed data are available for research and analysis from environments like Python, R or Matlab. We can deliver data to you on demand, whenever you need it, with an easy-to-use API. For more demanding integrations requiring real-time market data streaming, we have access through WebSocket and FIX protocols.

Circulating supply is incapable of judging which coins are lost forever. In the case of Bitcoin , it is estimated that up to 4 million coins have been lost. If these coins were to be removed from circulating supply, the currency’s market cap would nosedive. Many critics of circulating supply suggest that the metric tends to overestimate the real supply on the market by including tokens that aren’t actually available. This is the most common means of manipulating XRP a cryptocurrency’s market cap.

Enter your crypto amount and crypto price prediction into the respective inputs, and the crypto price calculator will provide your portfolio’s valuation at your set price. Accordingly, the new market cap field’s value will automatically update based on the input’s price. You may also enter your crypto market cap scenario to automatically calculate the respective crypto price at the set market cap.

It’s https://www.beaxy.com/ly a cool platform that connects all of my portfolios into one place. On CoinCodex, you can find crypto prices for over cryptocurrencies, and we are listing new cryptocurrencies every single day. However, Bitcoin is far from the only player in the game, and there are numerous altcoins that have reached multi-billion dollar valuations. The second largest cryptocurrency is Ethereum, which supports smart contracts and allows users to make highly complex decentralized applications. In fact, Ethereum has grown so large that the word „altcoin” is rarely used to describe it now. Cryptocurrency was invented by Satoshi Nakamoto, which is the pseudonym used by the inventor of Bitcoin.

The most popular platform for issuing tokens is Ethereum, and examples of Ethereum-based tokens are MKR, UNI and YFI. Even though you can freely transact with these tokens, you cannot use them to pay Ethereum transaction fees. If you want to buy a particular cryptocurrency but don’t know how to do it, CoinCodex is a great resource to help you out. Find the cryptocurrency you’re looking for on CoinCodex and click the „Exchanges” tab.

They give interviews, periodically release announcements, and maintain a social media presence, but they don’t pay people to hype. Look for cryptoasset projects with supportive, active communities. Most projects have public Telegram or Slack channels where you can communicate with community or team members.

One of the most popular indicators is thehype-to-activity ratio. It measures the number of tweets about a cryptoasset per million dollars of trading volume. The ratio uses 30-day averages for both tweets and trading volume. In most cases, overhyped projects are indeed using bots or fake profiles. Other project owners adopt the strategy of releasing a massive initial issue. If a new cryptocurrency can issue a million tokens and sell the first one for $1, the market cap of the project becomes $1 million.

Outside of stablecoins, cryptocurrency prices can change rapidly, and it’s not uncommon to see the crypto market gain or lose more than 10% in a single day. Fake trading volume is one of cryptocurrency’s most well-known problems. Numerous reports have come out which confirm that a bubble was created by token owners and exacerbated by exchanges and exchange data aggregators. Studies conclude that more than 80% of trading volume is fake. To get a broader perspective, let’s take a look at the world’s money supply and the way it is diversified.