Price vs Market Cap: Why 10T Supply Token at $0.00001 Means Little
A token with a 10 trillion supply and a tiny price per coin can still have a massive market cap. The post uses a pizza cutting analogy to explain why price alone is misleading.
A common mistake in crypto is focusing on token price without considering total supply. A token priced at $0.00001 with 10 trillion tokens in circulation may seem cheap, but its market cap is actually $100 million — not trivial.
Think of it like a pizza: cutting it into 4 slices gives large pieces, but cutting the same pizza into 10 trillion crumbs doesn't create more food. Similarly, a high token supply dilutes value. For that 10T supply token to reach $1, the market cap would need to exceed the entire planet's wealth — physically impossible.
Always check the formula: Market Cap = Price × Circulating Supply. That number reveals the real size of the asset, not the per-unit price tag.
Source: Cointelegraph