Can a marketcap go down while a coin price go up?

amacar2

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Quote from: paramind22 on December 12, 2016, 08:49:21 PM

Can a marketcap go down while the coin price actually go up?

Marketcap is directly related to coin price like price per coin is just the value obtained by dividing marketcap by total coin available.
So when marketcap will go down there is no chance for price to go up.

shanem

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Quote from: paramind22 on December 12, 2016, 08:49:21 PM

Can a marketcap go down while the coin price actually go up?

I am looking at Ripple and it has a huge market cap, but wondering if the marketcap went down in the future,
would the coin price necessarily follow it down.

No way it is possible unless the coin supply keeps dropping. If you are looking at BTC terms, it definitely won't happen but if you are looking at USD terms maybe the market will drop if the price of bitcoin drops. Altcoins are priced in bitcoin so its USD value will drop if bitcoin drops.

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Quote from: Tike Myson on December 13, 2016, 08:27:25 AM

Quote from: paramind22 on December 12, 2016, 08:49:21 PM

Can a marketcap go down while the coin price actually go up?

Yes it can.

Take a look at ripple price and cap around 14th january 2015 :
https://coinmarketcap.com/currencies/ripple/

NO it can NOT.
what you see on that chart is a bad comparison of apples and oranges. you see two lines one is in USD the other one is in BTC it would be like comparing time with temperature Cheesy

and the reason why marketcap (shown on the chart in USD) went down and price (shown on the chart in BTC) went up is because bitcoin price had gone down. if you check the market cap in BTC with price in BTC or both of them in USD you can see they both change together.
because simply put the formula is this:

Code:

market cap = Available Supply * Price

This value for ripple currently is 308,833.75043664BTC or 241,127,889.763992 USD

Tike Myson

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Quote from: paramind22 on December 12, 2016, 08:49:21 PM

Can a marketcap go down while the coin price actually go up?

Yes it can.

Take a look at ripple price and cap around 14th january 2015 :
https://coinmarketcap.com/currencies/ripple/

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Quote from: paramind22 on December 12, 2016, 08:49:21 PM

Can a marketcap go down while the coin price actually go up?

I am looking at Ripple and it has a huge market cap, but wondering if the marketcap went down in the future,
would the coin price necessarily follow it down.

Theoretically it should be possible at least in one scenario, where a certain significant amount of coins is confirmed to have been lost or irrevocably taken out of the market. This would mean more scarcity for the coin and if, there were enough demand, it is not inconceivable for the price to go up as a result of limited supply.

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Quote from: shinratensei_ on December 12, 2016, 09:35:28 PM

Quote from: paramind22 on December 12, 2016, 08:49:21 PM

Can a marketcap go down while the coin price actually go up?

Nope,
The price was reflecting the market cap in my opinion. Like the increase price of coin will push the total market capitalization.

Quote from: paramind22 on December 12, 2016, 08:49:21 PM

I am looking at Ripple and it has a huge market cap, but wondering if the marketcap went down in the future,
would the coin price necessarily follow it down.

Yes, it would.

YES true!

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Quote from: paramind22 on December 12, 2016, 08:49:21 PM

Can a marketcap go down while the coin price actually go up?

Nope,
The price was reflecting the market cap in my opinion. Like the increase price of coin will push the total market capitalization.

Quote from: paramind22 on December 12, 2016, 08:49:21 PM

I am looking at Ripple and it has a huge market cap, but wondering if the marketcap went down in the future,
would the coin price necessarily follow it down.

Yes, it would.

paramind22

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Can a marketcap go down while the coin price actually go up?

I am looking at Ripple and it has a huge market cap, but wondering if the marketcap went down in the future,
would the coin price necessarily follow it down.

Topic: Can a marketcap go down while a coin price go up? (Read 397 times)