The importance of market cap over coin / token value.

Greetings, everyone,

Throughout my journey in the world of cryptocurrencies, I've encountered numerous individuals touting the potential of "Coin XYZ to increase by 100x." Their reasoning often revolves around its current trading price being just $0.03 while it reached $3 during the last bull run.

Although this claim has been made multiple times, it's intriguing to note that the focus on an all-time high market cap is not as emphasized as the ATH (All-Time High) coin/token value. While this essential data can be found through careful analysis of charts, I noticed that it's curiously absent from the popular Crypto tracking sites.

To provide clarity, I've prepared a table (shown below) featuring some example coins along with their respective potentials based on market caps and current coin values. Even among the major players, you'll notice slight discrepancies. Why does this happen, you might wonder?

The reason behind this lies in coin dilution. Similar to FIAT currencies, many cryptocurrency projects introduce new coins during the project's lifespan, which subsequently dilutes and devalues the token. Some projects take this to an extreme extent, making it an incredibly vital metric to consider when investing in new ventures.

As you can see from column three's difference's and column six, the values are not the same. With this in mind basing your potential returns on coin value would put market caps for said coins at levels likely unobtainable.

In conclusion, it is wiser to base potential returns on a coin's past all-time high rather than its current value. This approach provides a more informed perspective when evaluating investment opportunities in the crypto space.

Best of luck to you all.

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