CoinMarketCap (CMC) has unveiled two new metrics designed to help users assess potential selling pressure in newly launched cryptocurrencies.
The metrics, “Unlocked Circulating Supply” (UCS) and “Unlocked Market Capitalization” (UMC), will be rolled out in early 2025 to address growing concerns about market volatility caused by tokens with low float and high fully diluted valuation (FDV).
UCS, derived from Token Release Schedules (TRS), calculates the amount of supply that could potentially enter the market. UMC, in turn, estimates the market capitalization based on UCS. Together, these metrics are expected to provide greater clarity on token release dynamics and help users understand the potential impact of token unlock events on market stability.
According to CMC’s blog post, tokens with high FDV and low float often introduce significant instability when previously locked tokens are released. By offering these new tools, CoinMarketCap hopes to empower users with a deeper understanding of potential selling pressure, enabling them to make more informed investment decisions.
“Rush”, CEO of the blockchain data analytics platform, emphasized the importance of using these metrics with other analytical tools. “We still encourage users to perform holistic analyses using block explorers to ensure that TRS-derived data comport with the on-chain reality,” the CEO stated.
This update follows the recent debut of the CoinMarketCap 100 Index (CMC100), which tracks the performance of the top 100 cryptocurrencies by market capitalization. The CMC100 offers a real-time, transparent view of the cryptocurrency market’s top players, providing a comprehensive snapshot of market performance.
The index aggregates data from verified CMC sources, refreshes every five minutes, and is calculated in USD. It is a market capitalization-weighted index rebalanced monthly, and the top 10 cryptocurrencies comprise 90.11% of its total value.
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