The cryptocurrency market capitalization is the total value of all coins that have been mined or are in circulation of a cryptocurrency. Market capitalization is used to determine the ranking of cryptocurrencies. The higher the market capitalization of a particular cryptocurrency, the higher its ranking and share in the market. The crypto market capitalization is calculated by multiplying the total number of tokens in circulation by its current price. For example, to calculate the market capitalization of Ethereum, all you have to do is multiply the total number of Ethereum in circulation by the ten-moment price of an Ethereum; you will get the market value as a result of this multiplication. How to Compare the Market Cap of Cryptocurrencies?
Crypto market capitalization can be divided into three categories:
- Cryptocurrencies with a large market capitalization (>US$10 billion)
- Cryptocurrencies with a medium market capitalization (US$1 billion – US$10 billion)
- Cryptocurrencies with a small market capitalization (
Market capitalization as a financial measure allows you to compare the total value of a cryptocurrency in circulation with that of others. The market capitalization of major cryptocurrencies such as Bitcoin and Ethereum is over $10 billion. They usually consist of proven protocols and have a vibrant developer ecosystem that maintains and develops the protocol and builds new projects on top of them. Market capitalization, while a simple and intuitive measure of comparison, is not a perfect method of comparison. The market capitalization of some cryptocurrency projects may seem to be inflated due to price fluctuations and the token economy for their supply. Therefore, it is best to use this criterion as a reference during your research process along with other metrics such as trading volume, liquidity, fully diluted valuation, and fundamental analysis. How Does CoinGecko Calculate Cryptocurrency Prices?
The price is calculated using the global volume-weighted average price formula based on the pairings of a particular crypto asset available on different exchanges. For more detailed information and examples of how we track cryptocurrency prices and other metrics, see our methodology page here. Why Are Cryptocurrency Prices Different on Different Exchanges?
You will notice that cryptocurrencies listed on different exchanges have different prices. The reasons for this are complex, but simply put, cryptocurrencies are traded on different exchanges and according to different economic conditions, liquidity, trading pairs and offers (e.g. derivatives and leverage), all of which affect the price in their own way. Where to See Crypto Money Prices?
At CoinGecko you can follow more than 10,000 crypto prices in more than 50 currencies. Popular cryptocurrency pairs include BTC – USD, ETH – USD and SLP – PHP. You can also track metrics such as 24-hour trading volume, market capitalization, price chart, historical performance chart, circulating supply, etc. Sign up to use CoinGecko’s crypto portfolio feature, which will allow you to track the performance of your portfolio. You can also check out GeckoTerminal (currently in beta), our comprehensive multi-chain on-chain charting tool that includes live charts, current trades, market sentiment and more in real time! CoinGecko also has a mobile app that lets you track cryptocurrencies on Android and iOS. What is the 24-hour volume in the table above?
24-hour trading volume refers to the amount of buying and selling of a cryptocurrency on all exchanges in the spot market in the last 24 hours (see derivative volume here). For example, if Ethereum’s 24-hour volume is $15 billion, that means that $15 billion worth of Ether has changed hands across all exchanges in the last 24 hours.