Crypto Market Cap Explained in Detail

Market capitalization generally applies to stock markets like it does to the cryptocurrencies & other blockchain projects. This gives you the present market value of the given cryptocurrency and blockchain network. Another important metric is a market cap of an entire crypto industry. And in a sense, it is used as the estimation of cumulative value of blockchain & cryptocurrency industry, so we can say that altcoins market capitalization is important thing to understand in detail.

How to Calculate the Total Cryptocurrency Market Cap?

The total crypto market cap generally refers to this market capitalization of various assets in a crypto industry. The crypto market cap is a gross total of various cryptocurrency assets, like Bitcoin, altcoins, Ethereum, stablecoins, digital tokens, or other crypto assets. Suppose something is a part of this crypto industry, the market value may contribute to total crypto market cap.

When you expect, it is the most changing figure. Even minute change cryptocurrency value will affect its total crypto market cap. At a time of writing, whole crypto market cap is $1,724,724,530,687. But, when you finish reading the article, the figure will be very different. So, you can see it keeps on changing.

What can affects the BTC market cap?

The investor sentiment towards BTC can be affected by various factors. In 2018, crypto sell-off was triggered by the moves to the block crypto by the governments across the world. Some countries wanted to complete “eliminate” use of the digital currencies in the criminal activities, whereas major banks of the US & UK had already moved to block the people from making use of the credit cards for buying cryptocurrencies. So, staying on the top of latest news can give you good idea on what can be available for the Bitcoin’s market cap.

Also, the primary difference between the Bitcoin production, or say mining ore and producing something like tables and chairs, is that increase in the demand will not spur the producers to make higher bitcoins—as it ‘s limited to just one block found over each ten minutes. Therefore, as higher rates in a market spur new & larger miners join this network, amount of the bitcoins made stays the same.