What Is Crypto Market Cap? It’s used to determine the valuation of a cryptocurrency based on the total money invested, not just the price. While market cap is important, it’s only one of many factors to consider when investing in a coin. How To Compare Crypto Market Cap? Investors use crypto market caps to determine if a coin has more room for growth or is currently overvalued by comparing it to established cryptocurrencies with similar use cases as a benchmark. Crypto market cap is the total value of a cryptocurrency in circulation, calculated by multiplying the total number of coins by the current market price. Why Is Crypto Market Cap Important?
Large-cap cryptocurrencies like Bitcoin. These categories are often used in investment strategies, and a “good market cap” depends on your risk appetite. If you’re willing to take on higher risks, you can look into small- or mid-cap cryptocurrencies. They are usually new projects with the potential for exponential growth but have lower liquidity and higher risk. Small-cap cryptocurrencies have market caps below $1 billion. Mid-cap cryptocurrencies have market caps between $1 billion and $10 billion. Ethereum have market caps above $10 billion. They have higher growth potential than large-cap coins but are also riskier. These established projects have higher liquidity and lower risks.
What’s neat is you can compare a coin’s performance against Bitcoin and/or Ethereum on a single graph. How Does CoinGecko Calculate Crypto Prices? Exclude anomalous tickers from our prices. We also have algorithms to detect. Our price charts come in both line and candlestick formats, and we also offer market cap charts. Our prices are calculated using an average price formula based on available trading pairs across multiple exchanges. Where Can You Get Cryptocurrency Prices? Learn more about our methodology.
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For risk-averse investors, consider large-cap cryptocurrencies. What sets our list apart is we aggregate cryptos from various exchanges to give a full picture of the crypto market and not just for coins on a particular exchange. We vet each coin to reduce the risk of scams. Remove inactive coins or dead projects to keep our list relevant to the market. Our cryptocurrency list features the top cryptocurrencies today, including Bitcoin, Ethereum, and over ten thousand altcoins. How Are The Top Cryptocurrencies Ranked? We rank cryptocurrencies by market cap. Our team curates the cryptocurrency list. If you can’t find a coin on CoinGecko, try searching on our DEX tracker GeckoTerminal.
We use an average price as crypto prices vary between markets. Crypto prices alone don’t mean much, so we’ve included data like market cap and fully diluted value. Crypto prices on an exchange depend on its market condition, influenced by factors like liquidity, trading pairs, offerings, and economic conditions. As exchanges may sometimes show abnormal prices, the crypto community relies on tools like CoinGecko for more accurate coin prices. Another popular feature on CoinGecko is our free and powerful crypto charts. It’s only when you pair current prices with historical data, statistics, news (this hyperlink), and more that you get a full picture of a coin’s performance.