About

Trading futures with leverage amplifies both potential gains and losses. A small price movement against a position can trigger a liquidation event where the exchange calculates that the remaining collateral is insufficient to cover the position's maintenance margin. Traders use this calculator to plan entry and exit points precisely. The tool computes Net Profit after exchange fees which can significantly eat into scalping strategies. It also determines the exact Liquidation Price based on the selected leverage. Understanding these metrics is critical for risk management in volatile markets like Bitcoin or high-beta stocks.

Formulas

Profit and Loss (PnL):

PnL = (Exit − Entry) × Size × Dir

Where Dir is 1 for Long and -1 for Short.

Liquidation Price (Long):

Liq = Entry × (1 − 1Leverage + MMR)

Where MMR is the Maintenance Margin Rate (typically 0.5% for BTC).

Reference Data

Leverage	Margin Req.	Price Move to Liq (Approx)	Risk Level
1x	100%	-100%	Spot Equivalent
5x	20%	-20%	Moderate
10x	10%	-10%	High
20x	5%	-5%	Very High
50x	2%	-2%	Extreme
100x	1%	-1%	Gambling

Frequently Asked Questions

This calculator assumes Isolated Margin logic for the liquidation price. In Isolated Margin, your risk is limited to the specific collateral assigned to that position. In Cross Margin, the entire account balance is used as collateral, which pushes the liquidation price further away but puts the whole account at risk.

Fees are calculated on the full Position Size (Principal × Leverage). If you use 100x leverage, you are paying fees on 100 times your money. Opening and closing a 100x position with 0.06% fees costs 12% of your initial margin instantly (0.06% × 100 × 2).

The Maintenance Margin is the minimum account balance required to keep a position open. If your margin balance drops below this level due to unrealized losses, the liquidation engine takes over.