Beyond reading the charts, you should also understand these concepts: circulating market cap and FDV
Circulating market cap = the current price multiplied by the number of tokens in circulation.
FDV is only a reference valuation calculated using the current price. To assess the actual supply schedule, you need to consider the tokenomics.
$BTC has a maximum supply of 21 million tokens, most of which have already been issued, so its market cap and FDV are not far apart.
Understanding these principles can help you avoid some pitfalls, but they can’t replace risk management.
Circulating market cap = the current price multiplied by the number of tokens in circulation.
FDV is only a reference valuation calculated using the current price. To assess the actual supply schedule, you need to consider the tokenomics.
$BTC has a maximum supply of 21 million tokens, most of which have already been issued, so its market cap and FDV are not far apart.
Understanding these principles can help you avoid some pitfalls, but they can’t replace risk management.
