The Coin Market Capitalization

What is a Crypto Market Cap?
"A coin's market cap can be a helpful tool when evaluating the value of a network. The market cap of a coin is calculated using this formula: Market cap = Total Circulating Supply * Price of each coin. In other words, it is a product of the coin’s circulating supply and the price of each coin. This is why the market cap is a better indicator of a company’s worth than the price of its individual tokens.

Cryptocurrencies can be broadly classified into “large-cap”, “mid-cap” and “small-cap”. Large-cap cryptocurrencies have a big market cap and as such are safe investments to make. Companies with more than a $10 billion market cap are classified as large-cap companies. Going by that estimate, as of writing, only Bitcoin, Ripple, and Ethereum classify as large-cap cryptos. Mid-cap cryptocurrencies have a smaller market cap but more risk than large-cap cryptos. Cryptos with market caps between $1 billion and $10 billion market cap is mid-cap. Small-cap cryptocurrencies have the smallest market cap and the highest risk because the chances of failure are much higher. Companies with a market cap below $1 billion are small-cap." - Blockgeeks

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