🪙 When I started learning about $BTC y cryptocurrencies, I used to see that one coin cost $1, another $100, and another $0.10.

But I discovered something important:

👉 The price of a cryptocurrency alone does NOT tell me how big it really is.

That’s what market capitalization is for.

📊 The formula is simple:

Market capitalization = price × circulating coins

For example:

If a cryptocurrency costs $2 and there are 10 million coins in circulation:

➡️ Its market cap would be $20 million.

So what is knowing this information for?

🔹 It helps me compare the size of different projects.
🔹 It helps me better understand why a coin with a low price doesn’t necessarily mean it’s “cheap.”
🔹 It helps me put into context the growth a project would need in order to reach a certain valuation.
🔹 I can also observe how the market is distributed across different cryptocurrencies.

That’s why, when I’m analyzing an asset, I try not to focus only on:

❌ “This coin costs $0.50, it’s cheap.”

Instead, I prefer to ask myself:

✅ How many coins are there?
✅ What is its market cap?
✅ What is its circulating supply?
✅ What utility and fundamentals does the project have?

Price is only one part of the story.

And understanding market capitalization is one of those basic tools that every beginner should know.

DYOR. INVESTIGATE YOURSELF.

#AprendeBitcoin #BinanceSquare #EducaciónFinanciera