Circulating Supply
Definition
Circulating supply is the number of cryptocurrency tokens that are currently available and circulating in the market. It differs from total supply (all tokens created minus burned) and max supply (the maximum number that will ever exist). Circulating supply directly affects market cap calculation (price × circulating supply). Tokens with low circulating supply relative to total supply may face selling pressure as more tokens are unlocked (token vesting). CryptoValue uses supply ratios in its Value Score.
Why Does This Matter?
Understanding Circulating Supply is essential for anyone investing in cryptocurrencies or working with blockchain technology. This concept directly influences how projects are valued, how markets behave, and what risks and opportunities exist for investors.
How Does CryptoValue Use This?
At CryptoValue, fundamental concepts like Circulating Supply feed into our proprietary Value Score — a rating from 0 to 100 based on 10 on-chain and market metrics. Our goal is to help you identify undervalued and overvalued coins, rather than just looking at price.
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