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Looking at the historical data of Loopring, I noticed something strange.

On Jan 4, Market cap was $163,805,000 and closed price was $0.65. That means, circulating supply was around 252M.

On Jan 5, closed price increased to $1.03 BUT market cap decreased to $41,138,000. And this means, circulating supply went down to around 39M.

Shouldn't Market Cap increase when price increases?

Can circulating supply decrease? or is there something that I am missing?

  • BYW, I noticed similar change in other coins as well – DeveScie Jan 15 '18 at 14:39
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    Is just CMC using the wrong data/fucked up somewhere/ forgot a zero. Example the real Circulating Supply is 734,089,390 but CMC shows 561,167,415. If you want to know the "real" market cap. Multiply the current price with the correct Circulating Supply. – Chak Jan 15 '18 at 16:22
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Shouldn't Market Cap increase when price increases?

It depends. MarketCap = circulating supply x unit price

Giving : MC=10, CS=10, UP=1

Example of an increase in MC : MC=20, CS=10, UP=2

Example of steady MC : MC=10, CS=20, UP=0.5

Example of a decrease in MC : MC=5, CS=10, UP=0.5

Can circulating supply decrease?

Yes circulating supply decrease, especially in centralized coins(controlled by individuals or corporations)

Example : Ripple decided to lock a huge number for XRP in mid 2017 which lead to unit price increase

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