---
title: "Discussion on \"Defi 101 for Degens: Understanding Market Cap and Liquidity\" | Hashnode"
description: "Discussion on \"Defi 101 for Degens: Understanding Market Cap and Liquidity\". Introduction\nHave you ever wondered why A whale will sell 5 million $ worth of tokens off a 300 million market cap coin, and the market cap plummets to like 40 million $ instead of.... (300 - 5) 295 million $ market cap? Well, chances are the liquidi..."
url: "https://hashnode.com/posts/defi-101-for-degens-understanding-market-cap-and-liquidity/679e2befc616a4e23a8e02f9"
---

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# [Defi 101 for Degens: Understanding Market Cap and Liquidity](https://popxzn.hashnode.dev/defi-101-for-degens-understanding-market-cap-and-liquidity?utm_source=hashnode&utm_medium=feed)

Introduction Have you ever wondered why A whale will sell 5 million $ worth of tokens off a 300 million market cap coin, and the market cap plummets to like 40 million $ instead of.... (300 - 5) 295 million $ market cap? Well, chances are the liquidi...

Feb 1, 2025 · 5 min read · popxzn.hashnode.dev  
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-   [#liquidity](https://hashnode.com/tag/liquidity)

## Written by

[Voke](https://hashnode.com/@popxzn)

@popxzn · Remote

  
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front-end dev and technical writer

I have a knack for breaking down complex concepts into clear, engaging content as I'm passionate in both web2 and web3 technologies. I cover topics that ranges from web development fundamentals to emerging tools and trends in crypto. With a focus on accessibility, my goal is to make technical knowledge easy to grasp, inspiring readers to learn, build, and explore the potential of tech and Web3.

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