In fact, according to CoinMarketCap.com data in the last 24 hours has reached 339 billion dollars, stabilizing around 329 billion.
The previous record was set on December 17, 2017, in the middle of a speculative bubble, when it reached 333 billion dollars.
At that time the price was over $19,000, while the new record of $339 billion was reached thanks to a price of $18,300.
It must be said that the market cap is nothing but the product that is obtained by multiplying the value of the single token by the number of tokens in circulation.
In December 2017 the number of BTC tokens in circulation was about 16.7 million, while now we are over 18.5 million.
Therefore, although their price is lower than the previous record, the current market cap is higher due to the higher number of tokens in circulation.
What the Bitcoin market cap indicates
In fact the value of the price of the single token is not in itself relevant. That is, the variation of prices is very relevant, especially for those who buy or sell, but the value in absolute terms of the price is not significant.
Instead the market capitalization is a good estimate of the true market value of a cryptovalue, so much so that it is also used to make comparisons between the various cryptovalues.
For example bitcoin is not the cryptocurrency with the value of the single largest token, so much so that for example the price of yearn.finance’s YFI token is over $22,000. But since there are only about 30,000 YFI tokens in circulation, its market capitalization is relatively low (0.6 billion dollars).
It is therefore incorrect to compare the prices of individual tokens, while it is correct to compare market capitalizations, so that Bitcoin is worth 548 times more than YFI.
Another example is that of XRP (Ripple), whose price is $0.29. Despite this it is the fourth cryptocurrency in the world for market capitalization, with over 13 billion dollars, while for example LINK (Chainlink), which is in fifth place, has a price of 13.5$ but a market cap of 5.3 billion.
Therefore, the fact that Bitcoin has recorded a new historical high as far as its market capitalization is concerned means that, overall, this cryptocurrency has never been more valuable than it is now in all its history, although for BTC owners the fact that the price is still below the historical high of December 17, 2017 certainly counts more.