Friends, I wanted to explain something to you regarding how some analysts introduce a cryptocurrency, draw a line, and say that this currency is, for example, 10,000% away from its previous peak and can bounce back. While this happens in very specific cases for some currencies, 99% of the time, it does not occur. Let me summarize why. For instance, when a currency is listed and in those first few months reaches a peak of $10, but then drops to $1, to understand the reason for this drop, you should not just look at the chart. Why? If this currency had a peak of $10, for example, the tokens issued were 100 million, at that time its market cap was $1 billion. But now, the token supply has increased to 800 million. This means that this currency cannot reach $10 again just by hitting its market cap peak because its tokens have increased eightfold. To see $10 again, its market cap must grow eight times from its historical peak for the currency to reach the $10 target. This is just one of the topics that is not being addressed in the market these days, and only Instagram dream sellers have learned to draw a line to the price peak of that currency and say it has a certain percentage of growth potential, which is somewhat impossible.
