A standard for measuring the total value of stocks or assets with reference to how many are available or in circulation.

Market capitalization (market cap) is a standard metric in corporate finance used to describe the value of a company, stock, or asset. This metric is defined as the total value obtainable from adding up all available units of the stock (in the form of shares) and multiplying this total by the price of each share. In crypto space, market cap refers to the overall value of a cryptocurrency which is determined by adding up available supply and multiplying this total by the price of the coin.

Market cap is a very useful financial instrument used to ascertain the value of a company or crypto. Because Bitcoin constantly has a higher market cap compared to others, it is considered to be the most valuable cryptocurrency in the world.

The underlying determinant of a market trend which is known by a constant rise or fall in asset price.

Market momentum is a term that explains a stable price movement within a particular period. This stability may be caused by a variety of factors, but the focus is often on the continuing trend of the price. As a result, market momentums are more easily identified by market trends which directly refers to the fact that the price of a certain commodity continues to rise or fall, to the point that continued upward or downward price movement can be predicted ahead of time.

Expert traders look out for market momentums. Competently identifying these momentums allow traders to take advantage of them and make significant profits ahead of others.

A high-risk trading strategy where the trader uses borrowed funds.

Margin trading refers to the use of trading assets using funds borrowed from someone else. In other words, margin trading is a strategy that relies on trading leverage to increase the amount of investments being made in the form of purchased assets. Thus, the strategy allows the trader to buy and sell well above their means at the time, but also present high risks in terms of possible losses.

Margin trading is popular but has varying regulations from broker to broker. However, the returns on investments are often sizable compared to when trading is done without the marginal account. But, because the trading funds are effectively on loan (with added interests), the risks are considered to be higher than the odds of significant yield.

Market Capitalization

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