what is market capitalization?

in #cryptocurrency6 years ago

market capitalization (market cap) refers to the total market value of the company's stock. The market cap is calculated by multiplying the company's share with the current market (market price) of a stock.
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this figure is used to determine the size of the company against the use of sales or total assets. The size of the company is the key determinant of the various features that attract investors, including risks. a company with 20 million stocks sold at $ 100/stock has a market of 2 billion.

There are 3 types of companies based on market cap
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1) LARGE-CAP COMPANY
has a market of $10 billion or more. These big companies are the major players in the industry. investing in large companies does not necessarily bring huge returns in a short time, but in the long run, these companies generally reward investors with a consistent increase in stock value.

2)MID-CAP COMPANY
generally have a market cap of $2-$10 billion. mid-cap company is a company operating in the industry that is expected to experience rapid growth. mid-cap companies carry higher risks than large-cap companies because their position is not strong, but they have the potential to grow.

3)SMALL-CAP COMPANY
companies in this category have a market cap of $300 million - $2 billion. these small companies are still new in the industry and are regarded as high-risk investments due to the age and size of their companies. With small resources, a small-cap company is very sensitive to the economic slowdown.

MARKET CAPITALIZATION (MARKET CAP) CRYPTOCURRENCY
In the cryptocurrency industry, only 5 cryptocurrency has market cap exceeding $ 10 billion and is eligible to be in the Large-cap category.

1) Large-cap cryptocurrency

  1. Bitcoin : $155 bilion
  2. Ethereum : $61 bilion
  3. Ripple : $32 bilion
  4. Bitcoin cash : $21 bilion
  5. eos : $11 bilion

2) Mid-cap cryptocurrency
while another 10 cryptocurrency is in the Mid-cap category.
see list below.

  1. Litecoin : $8 bilion
  2. cardano : $7 bilion
  3. Stellar : $6 bilion
  4. iota : $5 bilion
  5. neo : $4 bilion
  6. tron : $4 bilion
  7. monero : $4 bilion
  8. dash : $3 bilion
  9. nem : $3 bilion
  10. tether $2 bilion

3) Small-cap cryptocurrency
1591 of the entire cryptocurrency listed on https://coinmarketcap.com is only 45 cryptocurrency which has a market cap of $ 300 million - $ 2 billion.

  1. vechain : $1 bilion
  2. Ethereum classic : $1 bilion
  3. Qtum : $1 bilion
  4. omiseGO : $1 bilion
  5. Binance coin : $1 bilion
  6. Lisk : $1 bilion
  7. Zcash : $1 bilion
  8. Bitcoin private : $970 million
  9. nano : $943 million
  10. Bytecoin : $940 million
  11. verge : $933 million
  12. bytom : $925 million
  13. Populous : $845 million
  14. steem : $843 million
  15. wanchain : $746 million
  16. BitShares : $685 million
  17. Siacoin : $666 million
  18. Bitcoin Diamond : $652 million
  19. Zilliqa : $606 million
  20. Dogecoin : $594 million
  21. Decred : $592 million
  22. Maker : $587 million
  23. Ontology : $583 million
  24. Stratis : $580 million
  25. DigixDAO : $558 million
  26. Waves : $526 million
  27. Aeternity : $524 million
  28. Ox : $524 million
  29. Status : $479 million
  30. Aion : $475 million
  31. Mixin : $472 million
  32. Rchain : $457 million
  33. Golem : $440 million
  34. Augur : $423 million
  35. Loopring : $414 million
  36. Basic Attention Token : $410 million
  37. Waltconchain : $406 million
  38. Hshare : $395 million
  39. IOStoken : $382 million
  40. Komodo : $378 million
  41. Ardor : $378 million
  42. DigiByte : $347 million
  43. KuCoin Shares : $321 million
  44. Ark : $319 million

Note: The above list is based on current position, April 25, 2018.
https://coinmarketcap.com