Bitcoin Forum

Looking at the index websites we see more than 50 altcoins having reached more than a billion dollar marketcap and a few more are ready to cross the 1 billion dollar mark price.

We observe how Ethereum is valued close to 200 billion dollars market cap. This is basically the market cap of Bitcoin a few months ago. Polkadot at 20 billion dollars, Chainlink at 10 billion dollars, Cardano 17bilion etc. What is the real market cap derived from utility of these coins/tokens? Is Cardano,Polkadot, Chainlink and even Ethereum deserving these prices and market caps, and do you seriously think they can rise even more?

When investing in the top altcoins do you think the market cap is not important in your judgement to find if they are perhaps overvalued?

Please keep it civil in your replies, I am not attacking any of your favorite bags, just pointing out something that you should remember. Most altcoins will lose 99% of the price they have today as it happened again and again. There are very few alts having fundamentals to support the current valuation.

Are they deserving of the price they are trade on? It depends on the investors to be honest,  can't you see that at current price investors are still willing to buy eth or link, dot and so on.... price determinant is in the hand of the investors,

Of course market cap is always a major factor to be considered when investing, because the smaller the cap the greater the chance for the projects to grow, this is believe of many,  so a project with already high cap like eth could be consider to have certain limit to which the price can grow on a normal circumstance but this is crypto where normalcy  is uncommon.

Fundamental! That’s an interesting subject when people make investments into the market. The choice of coin is different for unique individual, and some of them do have multiple portfolio.

Considering market cap of the coin is crucial step while investing into these projects. It defines the fate of coin or how the project will do in the near future as well as long one.

In fact market cap gives you idea regarding:

1) How much engagement is there in the project.
2) is project capable of handling down turn crisis.
3) whether there is enough liquidity in the project or not?
4) Market cap attracts big bulls in the process

So yes, indeed very important factor!

Many cryptocurrencies are overvalued and time will tell us how deep they will be corrected in value. I won't think they will be corrected to their deserved values, real intrinsic values as crypto maket is easily to force people spend more money to invest than what they would do.

Marketcap, I think you can consider it differently. The bigger marketcap one coin has, the harder or more difficulty it will have to get big pump. It is due to the bigger required capital need to be used to pump it. Big or small price that coin has, it does not a matter too much.

You can see the Yearn Finance with very small total supply that helps YFI had a price on Moon planet: https://coinmarketcap.com/currencies/yearn-finance/

Total supply: 36,666 YFI.

If you will search for the greates pump in the internet then you will see that there are actually no limits. However, coin should be really interesting for traders to have so big market cap. There are a lot of dead projects and for sure they will never reach 0.01bln market cap

No, I don't because if you had asked this question years ago like back in 2017/18 when we had the last ATH, should we have been like oohhh that coin is already this high in price and I don't think it could go any higher, but overall to me is adoption, I believe that the more a particular coin is generally adopted regardless of the price people will still invest in it cos we've seen coins with low Mcap still fail.

The answer is if they can rise even more, the sky is the limit and the maximum value for crypto can't be determined and that depends on the market.


As long as it's a legit coin and i never think if that's overvalued. marketcap is not only the consideration to judge crypto dude.

yes, now there are a lot of altcoins prices pumped significantly(like Polkadot, BNB, ETH .etc), they have reached a new all-time high
DOT prices and market cap has increased 4x in 5 months.
I don't think this has reached the limit, and there will still be more movement in the next few months.
the potential for altseason already in sight.

If you are finding hidden gems, probably you will gonna start to look for a low market cap first.
Low market cap = high returns probably.

But I am not a fan of an altcoin with a low market cap, unless if their project itself is useful and I researched thoroughly. But that doesn't mean also if you have an altcoin that got a huge market cap, it will automatically be a green flag.

for me the market cap is everything, the market cap is a measure of whether a coin is worth buying or not. large marketcap = more likely to survive.

just look at ripple, everyone knows this coin is bad. but because their market cap is large, XRP can survive many problems. That's why, the first thing I notice when buying is the market cap. I have given up on looking for hidden gems because the reality is that coins with a low market cap are very difficult to survive.

I would say there is no limit to growth in this crypto market as far as I understand to date by my experience. Why they are not deserving. Polkadot, Chainlink, Cardano & Ethereum all have huge potential to grow more in the coming months as traders and investors decide the value of the coin and further as well they will decide. Even I somehow agree with your point after the previous bull run almost all the altcoins drop hard.

If later the supply is set and the purchasing power of the market increases, I believe Ethereum has a much better price than this. ethereum 2.0 is just running and I think the ethereum platform and market development scheme will be very good in the future. I also hope that bitcoin will keep its price for a longer time.

different release with news from market and developer helps investors to converge with decision of invest as might with the appeals that they have something in commons to work with casuals or more on arbitrage business of trading with the table of market with the crypto finance field of merchantile.

Well, my answer in your question if they can even rise more? is Yes they can as long as their innovation is good and people like it they can have the support of many people and whales, yes it's true that the reason for their pump is sometimes because of other people or because someone hype it, but then if you will look closely to those projects and their plans you may see that their price is actually worth for them, they are gold coins with good to best plans and protocols.

Market cap grows when the price pumps, and whats more important to me is that, the reason behind the price pump. If its just because the market hype especially like on Doge, then I think I should not depend on Market cap because it’ll go down again when the hype was done.

There’s a limit on everything, we can’t go to a straight stairs going up and we have to take a challenging ladders going up. We have to stay patient, always go for the good trades and not for easily money, the risk is too high for that.

Many comments here are totally worthless... and it's only the first page! Before everything, you need to read a bit about economy, specifically about market capitalization and what it means! I bet you will be confused if it's your first time, but a little practice, and you will learn how to read between the lines...
It's always about supply and demand! From these two (main) factors will depend on the future of the project... to keep it simple, for anything to grow there's need to be a demand! If you know the supply you can calculate the prices and market cap... simple as that!
So is there a limit? For sure there is, but we know that crypto didn't scratch the surface, there's a lot of space to grow and develop Bitcoin and alts, and it's going to be even crazier in that sense, we are seeing good crypto projects being created every year, and there are great old ones, which one will take the stand in 2050 is hard to say, but for now i am sure that everyone here is more than happy with the current progress of the existing coins!

To answer the question straight up, there is absolutely no limit to the growth of what or which ever crypto coin or token, be it bitcoin, Ethereum, or altcoins in general, I mean we humans can limit our imagination and conclude that it won't go pass this level, but the reality is that there is actually no limit to how far the crypto currency market can grow, we are looking at one trillion today, tomorrow, we might wake up and realize that altcoins alone are over one zillion in market cap... It's highly possible.

Yes, market cap if I understand it correctly means the total number of coins into circulation multiplied by the current price. It can be deceptive at times because at certain times some tokens are overpriced and multiplying it by the total coins is like fooling yourself. Anyways I agree that the market cap is a small indicator because it can grow or shrink based on the use case of the token and how the development is coming around the token.

Polkadot is already dominating the market cap and is among top 5 coins right now even though their product is yet to fully launch and I am expecting it to cross ethereum in coming times, but then again all these things are still speculation and I have seen great projects broken into pieces when it comes to execution.

Although I agree but the market capitalization does give you an idea how big the coin can certain get in coming time.

Market cap only tells you how popular the coin is among traders and investors and similarly another important aspect is the trading volume in the last 24 hours or 7 days because it tells us about the current sentiment of the market towards the coin. When dogecoin started rising you would see the trading volume got massive which clearly indicates that the market is now getting more and more curious about the coin. Trading volume is what makes a stable coin like USDT so valuable despite knowing its going to remain always 1 USD.

The dead project should be included in the exception coz we are talking about the limit for the legit coins to go to the moon. No one can interpret how long crypto can go. The sky is limit and even bitcoin can worth 1 million dollars in the future.
That's why people like to use crypto as there's no limit and no one will be ruling the market. That makes it different from the stock market.

New or old coin growth is always included in the total supply. Altcoins are here to pump without any limitations. Total market cap could reach 5 trillion, so billion USD isn't a big deal. More altcoins or new altcoins could reach billion USD. We can fix limitations on only old top altcoins pumps. As exchange, demand and volume altcoins price we can predict easily.

There is a limit of course but this is because there are only a few people in cryptocurrency. The marketcap isn't what makes it an altcoin's growth limited.

Give it time till 2025 probably the next halving and bullrun, people will start investing even to TRX that most of us despise. Even just half the people in the world get to enjoy the cryptocurrency will make the price grow limitless already.

there is definitely no growth. it wont be  a good approach to cap the growth limit. s long as more people keep buying into the project and the keep developing their platform. market cap is not so good to judge a coin further except if it isnt a good project. these facts are just to postion for greater profit in a low cap coin.

This is the real marketcap, marketcap is just supply x value of a single unit. It's really not that useful metric.

It's not hard to see that alts are overvalued, they don't have any use now, their price reflects the hopes of investors that one day these coins will be used, and then there's a big dose of speculation.

Most alts are doomed to die because of competition. We don't need two Ethereums or two Bitcoins. 99% of users will stick to the dominant solution.

This will always be an issue when discussing altcoins, especially when people have their favorites on the list.
For me, i don't think the market cap value should be placed into high consideration. Because a coin with a low market cap can still perform better than the one on the top list.

I always see the real potent of a coin through what their worth or what they set up for. A good coin can suddenly jump from zero to from billions. So don't easily judge.

yes, everything is possible in crypto world, and for sure a lot of hidden gem that under the radar now that can easily jump anytime
but, we need a good knowledge to find the hidden gem mate

The real marketcap from those smartcontract coins can't be determined and it should be random as the volatility will always change the marketcap. If we are talking about potentiall of this coins to grow even more and it will always there.

Marketcap is an imporant thing to be used as an indicator before try to invest in the ico. That will make us easy to determine whether it's overvalued or not.
There are lots of factor other than marketcap that will always be used as judgement to the project.

Technically speaking there is absolutely no limit at all, it could be anything, we could have even ethereum at 1 million dollars each, because it is technically "possible", that is why I think it is quite obvious that people do keep invest into crypto currencies. However we are looking at what is realistic and not what is possible, because altcoins could go up, but they can't go up as much as what is possible.

For example ethereum becoming 2k+ tomorrow would be possible and also realistic, however ethereum being 50k tomorrow is "possible" but not realistic expectation. So if you want to make something that would be realistic, you should keep it within 5x high and 80% low, those are the realistic numbers, prices will not go higher than 5x times in under a month, and it will not drop 80% in a month neither and thats the short term realistic approach.

When cryptocurrencies such as Bitcoin and Ethereum reach their next high in 2021, then many investors will invest in other projects, thereby benefitting from the prospects of other projects. It is at that moment that altcoins will also begin to rise in price. And today it is too early to expect this.

Many crypto coins are not in the right places right now, do not be deceived by the massive marketcap you are seeing, only time will put them where they need to be in the first place, find potential altcoins and keep watch on them, nothing is certain in crypto space, just because coin A is on top 5 today doesn't mean it will be there tomorrow