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Market Analysis14 min read

The FDV Trap: Why Cheap Altcoins Don't Always Moon

March 27, 2026
By FeeLessTrade Team

The biggest mistake new crypto investors make is buying cheap altcoins thinking they'll 100x. A coin trading at $0.0001 looks attractive, but if the fully diluted valuation is massive, the price will never reach your target. Market Cap (current price × circulating supply) is what matters today, but FDV (current price × total future supply) determines future potential. Many projects plan to release billions more tokens over time, which dilutes existing holders' value like inflation. Before buying any altcoin, check the ratio between Market Cap and FDV. If FDV is 100x higher than Market Cap, expect massive dilution. Use CoinGecko or CoinMarketCap to compare these metrics. On MEXC and Bybit, you can research each coin's tokenomics before investing.

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