Invisible supply refers to the portion of a cryptocurrency’s total supply that is not actively circulating in the market. This includes coins that are lost, forgotten, or held long-term by investors who might not sell them. These coins can create a misleading perception of scarcity and value. For example, if a project has a total supply of 1 million coins, but 300,000 are lost or held by investors with no intention of trading, the effective supply available for trading is only 700,000 coins. Invisible supply can significantly impact price dynamics. As demand increases, the limited availability can drive prices higher, even if a substantial amount of the total supply is never sold. Understanding invisible supply helps investors gauge true market liquidity and make informed decisions. In summary, invisible supply plays a crucial role in market behavior, making it essential for participants to consider both visible and invisible aspects of supply when analyzing a cryptocurrency.