What do the basic investing terms in crypto mean?
The vocabulary used to describe crypto markets is borrowed almost entirely from ordinary finance, and it means the same things here. Market capitalisation is the price of one unit multiplied by how many units exist, liquidity describes how easily something can be bought or sold without moving the price, and volatility measures how sharply a price moves over time. Crypto markets tend to be more volatile and less liquid than established markets, which is why those two terms come up constantly.
Understanding these words is what lets you read anything else about the market without being misled by it. None of the pages below recommend an asset or a strategy, and nothing on this site is financial advice. They explain what the measurements mean so that you can judge a claim someone else is making.
Investing basics terms explained
11 definitions, each with a plain-English version, a technical version, a worked example and the mistakes beginners make.
Where this is taught
This subject sits in the Beginner path of the CryptoBipto curriculum, which runs from complete beginner to expert across four tiers. You can browse the full curriculum or read free sample lessons before signing up.
Common questions
Does a bigger market capitalisation mean a safer asset?
It does not. Market capitalisation measures size, not quality or safety, and it can be inflated by a small circulating supply or by thin trading. It is a useful comparison figure and a poor risk measure on its own.
Why is volatility talked about so much in crypto?
Crypto prices move further and faster than most traditional assets, in both directions, and those moves are what create both the interest and the risk. Understanding volatility as a measurement rather than as a mood is what keeps it from driving decisions.
Does CryptoBipto tell me what to invest in?
No. CryptoBipto teaches how the market and the technology work and does not give financial or investment advice, make recommendations, or predict prices.
Related subjects
Educational only — not financial advice. CryptoBipto does not custody funds or execute trades.