WILL WE HAVE ANOTHER DE-FI SUMMER IN 2022?

Shark Tank’s Mark Cuban is predicting that BTC still has a way to go as far as a price reduction. Other cryptocurrency analysts are predicting that Bitcoin (as well as many other cryptocurrencies) has already hit its lowest. But not so, for Mark Cuban! He claims that it’s not that cheap yet if you analyze the high market cap of some projects.

We discussed market cap in previous blog posts but I’ll explain it again here. Market cap is short for market capitalization and it refers to the market value of a company shown in a dollar amount. In the cryptocurrency world, market capitalization is the total value of a cryptocurrency.

To calculate market cap in the stock market, you multiply the share price by the shares outstanding. In the crypto market, market cap is calculated by multiplying the price of the cryptocurrency with the number of coins in circulation.

In an article in Coin telegraph dot com, Mark Cuban says, “You look at the market caps, and you see it’s a billion-dollar-plus market cap or $6 billion or $8 billion or $40 billion - you don’t look at that and go ‘that's cheap.’ If you remember back to DeFi Summer, these things were selling for less than a penny and their market caps were in the hundreds of millions.”

By “DeFi Summer,” Cuban is referring to the Summer of 2020 when the Decentralized Finance (DeFi) market experienced huge growth because a lot of DeFi applications suddenly hit the market and were a huge success with users. Maybe we’ll have another DeFi Summer this year, who knows but God? 😜

Either way, I am looking forward to tracking the crypto market all summer long whether it goes up or down, I am excited about learning and growing as I’m sure you are too! Have a peaceful week!

Copyright ©2022 Sherma Jacqueline Felix, BLACK ADVANTAGE Publishing™ . The author shall neither be liable nor responsible for any loss or damage allegedly arising from any information or suggestions in this post.