Crypto market cap illusion explained! š„
What I call the āmarket cap illusionā, is the completely conceptual idea, that market cap equates to actual dollars. IT DOESNT
Market cap is simply a mathematical equation. The number you get as a result of that equation is not an actual dollar value.
Market cap = current price x circulating supply.
THATS IT.
So when someoneās says āthat coin can never reach that price because the market cap would be way too high! Thereās not enough money in the world for that!ā
Tell them they donāt know what theyāre talking about.
Price determines market cap. Market cap doesnāt determine price.
Coins like $XRP will be the coins to break this illusion. š
If youāre still in crypto at this point, you have a choice to make.
Log off and quit. Or double down.
Complaining will NEVER take you further in life.
So pick one, and stick to it.