Understanding whether a cryptocurrency can reach a specific price target, such as $1, is crucial for traders and investors. Many new traders wonder if coins like PEPE, FLOKI, or Dogecoin can ever hit the $1 mark. Here’s a step-by-step guide to analyzing this possibility using a simple formula that applies to any cryptocurrency.
Step 1: Where to Find the Required Data?
To analyze any coin, visit CoinMarketCap.com or simply search the coin’s name on Google. These sources provide essential data such as Market Cap, Circulating Supply, and Total Supply—key metrics required for evaluation.
Step 2: Understanding Supply – Circulating, Total, and Diluted Supply
- Circulating Supply: The number of tokens currently in circulation and available for trading.
- Total Supply: The total number of tokens created, including those yet to be released.
- Diluted Supply: The projected total supply when all tokens are in circulation, representing the maximum supply in the future.
Step 3: Market Capitalization – The Key to Price Calculation
The market capitalization (market cap) of a coin is calculated using the formula:
Market Cap = Price per Token × Circulating Supply
Market cap represents the total value of all tokens in circulation. To assess if a coin can reach a target price, we need to compare its required market cap with existing market caps of leading cryptocurrencies.
Step 4: Can PEPE or FLOKI Reach $1?
To determine if PEPE or FLOKI can hit $1, we apply the formula:
Price per Token = Market Capitalization ÷ Circulating Supply
.PEPE Coin Analysis:
- Circulating Supply: 420,689,899,999,995 PEPE tokens
- Required Market Cap for $1 per PEPE:
$1 × 420,689,899,999,995 = $420.69 trillion
This market cap is far beyond the current total market cap of all cryptocurrencies combined, making it nearly impossible for PEPE to reach $1.
.FLOKI Coin Analysis:
- Circulating Supply: 9,604,014,318,296 FLOKI tokens
- Required Market Cap for $1 per FLOKI:
$1 × 9,604,014,318,296 = $9.6 trillion
For context, the entire global cryptocurrency market is around $2.95 trillion, making $1 per FLOKI highly unrealistic.
Step 5: Market Cap Comparison – Is the Target Achievable?
Before assuming a coin can reach a certain price, check the current total crypto market cap. If a coin’s required market cap is greater than the entire crypto market, the price target is unrealistic.
Step 6: Developer Activity & Growth Potential
To assess a coin’s potential, check its GitHub activity to see how frequently developers are updating the project. A lack of updates suggests slow development, which may reduce long-term potential.
Step 7: Checking Blockchain Explorer for Holders Distribution
Using a blockchain explorer, analyze the distribution of tokens. If a few holders control a significant percentage of the supply, there’s a risk of large sell-offs that can lead to price crashes.
Step 8: Social Media Activity – Measuring Hype & Community Strength
Active communities on platforms like Twitter indicate strong investor interest. Coins with engaged communities tend to maintain their value and growth momentum better.
Step 9: Exchange Listings – Accessibility Matters
A coin’s availability on major exchanges like Binance, Coinbase, and Kraken can drive demand and price appreciation. Check upcoming exchange listings for growth potential.
Step 10: Evaluating the Team Behind the Project
Research the coin’s developers and leadership team via LinkedIn or official websites. A strong team with blockchain experience increases the project’s credibility and success potential.
Final Verdict – Which Coin Can Realistically Reach $1?
- PEPE Coin: Due to its massive supply, reaching $1 would require an unrealistic market cap.
- FLOKI Coin: Similarly, the required market cap makes $1 per FLOKI unlikely.
- Dogecoin (DOGE): Currently, Dogecoin has a circulating supply of 141 billion tokens. For DOGE to hit $1, it would need a market cap of $141 billion—a significant but realistically achievable figure compared to PEPE and FLOKI.
*Conclusion*
To evaluate if a coin can reach a certain price, follow these steps:
1. Check CoinMarketCap for circulating supply and total supply.
2. Compare the required market cap with the total crypto market cap.
3. Assess developer activity on GitHub.
4. Use a blockchain explorer to analyze token holders.
5. Check social media engagement and community strength.
6. Research the team’s background and exchange listings.
From this analysis, Dogecoin has the highest chance of reaching $1, while PEPE and FLOKI would require unrealistic market capitalizations. By following these steps, investors can analyze any coin’s price potential before making decisions.
#Ms_Traders #trandingtopic