The Cryptocurrency Market is a decentralized market, which means it can not be controlled by a central authority such as the governments or banks.
Cryptocurrencies run across a network of computers, it can be bought and sold on exchanges and stored in wallets.
To check the price and other market details of a cryptocurrency, you can use the following apps or softwares:
• CoinMarketCap
• CoinGecko
In order to understand how the cryptocurrency market works, and how to operate on these apps or softwares very well, there are some cryptocurrency market terms you need to know:
Market Cap:
Market Cap is a shortened term for Market Capitalization, which in cryptocurrency is calculated by multiplying the current coin price of a certain cryptocurrency market to its circulating supply. This determines the sustainability and value of a cryptocurrency where it is generally perceived that a high market cap secures the value of the coin, making it an integral aspect im deciding for investment.
Total Supply:
Total Supply is the total amount of coins or tokens that are currently in existence, including those in circulation and those that are locked or reserved.
Max Supply:
Max Supply is a shortened term for Maximum Supply, The maximum supply of a cryptocurrency refers to the maximum amount of coins or tokens that will be ever created. This means that once the maximum supply is reached, there won’t be any new coin mined, minted or produced in any other way.
Circulating Supply:
Circulating supply refers to the amount of coins or tokens of a specific cryptocurrency that are publicly available to buy or sell. If you can trade them, they are considered circulating.
Volume:
Volume is the number or amount of units traded in a market during a given time. It is a measurement of the amount of individual units of an asset that changed hands during that period. Each transaction involves a buyer and a seller. When they reach an agreement at a specific price, the transaction is recorded by the facilitating volume.
Rank:
Rank is the relative position a cryptocurrency occupies in the market. Usually, the rank of a cryptocurrency is evaluated by its market capitalization.
All Time High:
All Time High or ATH is a term that refers to the highest price a cryptocurrency has reached since its initial launch.
All Time Low:
All Time Low or ATL is a term that refers to the lowest price a cryptocurrency has been since its initial launch.
Fully Diluted MarketCap:
The fully diluted market cap is the total value of the crypto at today’s price if all tokens are in circulation.
Market Dominance:
Market dominance refers to the percentage a single cryptocurrency has of the market capitalization or value of every cryptocurrency in the world.
