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RE: Cryptosphere Global Market Analysis

in #bitcoin6 years ago

Something you have to know about Market Cap!

If you ever wondered how the market cap could rise with 3 billion dollar in only half an hour and are thinking that 3 billion dollar is "new" money coming in, you're wrong!

To keep it simple I rounded the figures and made them smaller:

Let's say BTC has 17 million coins circulating at a price of $ 10,--.
The market cap would be 170 million.

At the moment that 5 BTC coins would be sold for $ 20,-- the whole market cap would double to 340 million while in reality only $ 50,-- of new money came in.

That's the reason of the big fluctuations of the Market Cap.
It's only a value, not real dollars!