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Crypto market cap illusion explained! 💥
What I call the “market cap illusion”, 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 someone’s says “that coin can never reach that price because the market cap would be way too high! There’s not enough money in the world for that!”
Tell them they don’t know what they’re talking about.
Price determines market cap. Market cap doesn’t determine price.
Coins like $XRP will be the coins to break this illusion. 😎
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