Why you should know this
Unit-price bias can make a risky token look more affordable than a stronger asset.
Price per token is only one number
A token at ₱1 can have billions of units. Another at ₱1,000 can have far fewer. Comparing unit prices alone ignores supply and market value.
Market capitalization—price multiplied by circulating supply—is one broader measure, though it also has limits.
Supply and liquidity can change the picture
Future token unlocks can increase available supply. Concentrated holders can create selling risk. Thin liquidity can make the quoted price difficult to realize.
We also need to study usefulness, governance, security and demand.
A familiar example
Token A costs ₱1 with ten billion circulating units. Token B costs ₱100 with ten million units. Token A has the lower unit price but the larger simple market capitalization.
One limit to remember
Market capitalization is not the amount of cash invested and not a valuation guarantee. It is one comparison tool.
How this connects to market mastery
Fundamental analysis replaces “cheap coin” with supply, dilution, demand, liquidity and evidence.
Quick check — no money needed
Calculate price times circulating supply for two imaginary tokens. Which has the larger market capitalization?
If you can answer that clearly, this lesson is complete.
*Cryptocurrency and virtual asset transactions are highly volatile and irreversible, may result in significant losses, and do not guarantee returns; customers should trade only after understanding the risks involved.
