Crypto Cryptocurrency Market Cap

Discussion in 'Other Asset Classes' started by JK200SX, 4th Jan, 2018.

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  1. JK200SX

    JK200SX Well-Known Member

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    Well, I know sort of what this means, but perhaps someone with more knowledge can help?

    What I do know is that if you have a crypto that has16.78Mil coins at a price of $15,288, then its market cap is 256Billion. This is what the total value of that crypto is worth, but is not necessarily the amount of money invested in it?

    Why I'm looking at this is trying to understand the reasoning behind when people say that, as an example, crypto ABC will not reach X dollars, because it has XYZ billion coins at its market cap would have to go up ten fold. BUT, tenfold increase in its market cap does not equal 10 times more the amount of FIAt money poured into that crypto? So, in theory if someone decides to place a sell order of a 10c crypto to $1, and it is bought, then I would assume that the market cap for that crypto would be 10 times larger?

    Does it make sense what I am saying?