Is a coin priced at just a few cents necessarily cheap? Don’t worry, here’s the lesson:
To judge whether a coin is over- or undervalued, look at its total market cap or FDV—that is, the unit price multiplied by the supply. Don’t look only at the price of a single coin.
If the unit price rises from 0.00001 to 0.001, that’s a 100x increase. For a coin with a total supply of several hundred trillion, that means its total market cap would also have to rise 100x.
When I first got into crypto, I thought knowing how to read candlestick charts was all I needed. Then I realized the rules are the first lesson.
$PEPE 0.0₅385 (-7.45%)
To judge whether a coin is over- or undervalued, look at its total market cap or FDV—that is, the unit price multiplied by the supply. Don’t look only at the price of a single coin.
If the unit price rises from 0.00001 to 0.001, that’s a 100x increase. For a coin with a total supply of several hundred trillion, that means its total market cap would also have to rise 100x.
When I first got into crypto, I thought knowing how to read candlestick charts was all I needed. Then I realized the rules are the first lesson.
$PEPE 0.0₅385 (-7.45%)