📚 Market Cap: The Metric Beginners Get Wrong
🚨 A $1 coin is NOT automatically cheaper than a $100 coin.
Market Cap = Price × Circulating Supply
Before entering a trade, watch these 3 scenarios:
🟢 BULLISH
Price breaks resistance + volume increases + market cap expands.
➡️ Action: Wait for a confirmed breakout/retest before considering an entry.
❌ Invalidation: Price closes back below the breakout level.
🟡 NEUTRAL
Price moves sideways + volume stays weak + market cap barely grows.
➡️ Action: Stay patient and wait for a confirmed range breakout.
❌ Invalidation: Strong close outside the range.
🔴 BEARISH
Price loses major support + selling volume rises + market cap contracts.
➡️ Action: Avoid chasing the dip; wait for support to be reclaimed or a new base to form.
$AVA $NEAR $ONE
❌ Invalidation: Price reclaims support with strong volume.
💡 Key lesson: Don’t ask, “Why is this coin only $1?”
#BTC #bitcoin #ta #BinanceSquare #trading
Ask, “How big is its market cap, and how much supply exists?”
👇 Would you buy a $1 coin with a $10B market cap?
🚨 A $1 coin is NOT automatically cheaper than a $100 coin.
Market Cap = Price × Circulating Supply
Before entering a trade, watch these 3 scenarios:
🟢 BULLISH
Price breaks resistance + volume increases + market cap expands.
➡️ Action: Wait for a confirmed breakout/retest before considering an entry.
❌ Invalidation: Price closes back below the breakout level.
🟡 NEUTRAL
Price moves sideways + volume stays weak + market cap barely grows.
➡️ Action: Stay patient and wait for a confirmed range breakout.
❌ Invalidation: Strong close outside the range.
🔴 BEARISH
Price loses major support + selling volume rises + market cap contracts.
➡️ Action: Avoid chasing the dip; wait for support to be reclaimed or a new base to form.
$AVA $NEAR $ONE
❌ Invalidation: Price reclaims support with strong volume.
💡 Key lesson: Don’t ask, “Why is this coin only $1?”
#BTC #bitcoin #ta #BinanceSquare #trading
Ask, “How big is its market cap, and how much supply exists?”
👇 Would you buy a $1 coin with a $10B market cap?
