Market cap comparison Bitcoin is a decentralized appendage currency without a central bank or single administrator that can be sent from user to individual on the peer-to-peer bitcoin network without the need for intermediaries. Transactions are verified by mesh nodes finished cryptography and filmed in angstrom unit public distributed ledger. View and analyze Compare Cryptocurrencies | Bitcoin over cryptocurrencies from crypto market cap rankings, below show total market highs, supply data & for top cryptocurrencies like such as bitcoin and worth Coin Market Capitalization differences between each cryptocurrency Dominance Charts — TradingView total number of Bitcoins the. The current CoinMarketCap ranking is #1, with a market cap of $,,, USD. It has a circulating supply of 18,, BTC coins and a max. supply of 21,, BTC coins. The top exchanges for trading in Bitcoin are currently Binance, Huobi Global, EtherFlyer, OKEx, and allcryptocoins.de You can find others listed on our crypto exchanges page.
Bitcoins market cap comparisonCan You Compare Cryptocurrencies by Market Cap?
The way that market capitalization is figured is to multiply the number of shares available by how much the shares are selling for. Generally speaking, the bigger the market cap of a company the more stable the investment. There are several factors that can influence an investment beyond the market cap, but many investors use market capitalization as a tool to help them know where to invest and how risky the investment is. In traditional stock,s companies that have a market cap of 10 billion or more are considered large-cap companies.
Market caps of between 2 billion and 10 billion are considered mid-cap companies with more room for growth. And market caps of between million to 2 million are considered small-cap companies and are generally riskier investments.
With the growth of cryptocurrency, people are starting to look at market caps in crypto markets as well. But because crypto is largely unregulated at this point, there are additional considerations to take into account before considering market capitalization as a primary indicator of risk.
Bitcoin market cap and other cryptocurrency market caps are being used to compare the value of various cryptocurrency companies. But there are some serious problems with this approach. One of the most important risk factors to look at when evaluating market cap for cryptocurrency is nonliquidity in the markets.
This usually happens because certain parts of crypto are locked up or lost. The biggest problem with using market capitalization as a measure of how strong a particular cryptocurrency is like you would for a publicly traded company is that there are many situations where units of the cryptocurrency are not in liquid circulation.
These locked up or lost cryptocurrency units can affect what the real market cap is of any cryptocurrency. Another example of this is the company Steem. But a huge portion of their value was locked up in something called Steem Power——a kind of social network. Which means that the market capitalization value was incredibly misleading. Sharks can also create misleading market capitalizations. In many cases — especially with smaller cryptocurrencies — a single entity will hold on to much of the coin from the very beginning of its existence.
If these sharks then dump all of that cryptocurrency onto the market at once it can devalue it really fast. Especially since cryptocurrency - at this point - can still be very volatile. Now that we've looked at why market cap can be somewhat misleading when comparing cryptocurrencies, let's look at some important metrics you should consider when comparing and evaluating cryptocurrencies.
When it comes to comparing cryptocurrencies, the first metric that you probably should watch outside of market cap is called Metcalfe's Law. I understand we are going to keep rates low forever, and growth is picking up. I love crude, I am long crude. You can be long copper. We are going to have a big growth surprise early next year, and then in the second quarter, it is going to explode. There is a macro reason to be long.
His view was he said, listen, it is scary. It makes no sense. You have to decide, am I going to ride it or not? Then no regrets if you decide you are not going to ride it, like we are riding this frenzy bubble of this new regime that we are in when you are printing more money than we have ever seen before. What is driving Bitcoin is driving Tesla and Snowflake and every venture back. Please check your inbox or spam folder to confirm your subscription.