1. What is Market Cap?

Market capitalization (market cap) is the total market value of a cryptocurrency's circulating supply. It's calculated by multiplying the current market price of a single unit by the circulating supply.

2. How Does the Calculator Work?

The calculator uses the Market Cap formula:

Where:

• \( Price \) — Current price of one coin/token in your chosen currency
• \( Supply \) — Circulating supply of the cryptocurrency

Explanation: This simple calculation gives you the total valuation of the cryptocurrency in the market.

3. Importance of Market Cap

Details: Market cap helps investors understand the relative size of one cryptocurrency versus another. It's a better indicator of value than price alone because it considers both price and circulating supply.

4. Using the Calculator

Tips: Enter the current price per coin in your chosen currency and the circulating supply (not total supply). Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between market cap and price?
A: Price is the value of one unit, while market cap represents the total value of all circulating units.

Q2: Why use circulating supply instead of total supply?
A: Circulating supply represents coins actually available in the market, giving a more accurate valuation.

Q3: How often should I check market cap?
A: For active traders, checking real-time data is important. For long-term investors, daily or weekly checks may suffice.

Q4: What are typical market cap ranges?
A: Large-cap (>$10B), mid-cap ($1B-$10B), small-cap ($100M-$1B), micro-cap (<$100M).

Q5: Can market cap be manipulated?
A: Yes, through wash trading or artificial price inflation, so consider multiple metrics when evaluating.