Liquidation Price Calculator
Determine the exact price at which your leveraged position will be liquidated
Liquidation Price Calculator
Exchange specific (usually 0.5% for BTC/ETH)
Understanding Liquidation
Liquidation occurs when your account equity falls below the maintenance margin requirement for your open positions. When this happens, the exchange automatically closes your position to prevent further losses that you cannot cover.
Key Concepts
- Entry Price: The average price at which you opened your position.
- Leverage: The multiplier on your capital (e.g., 10x means you control $10,000 with $1,000).
- Maintenance Margin: The minimum percentage of the position value you must hold as collateral (usually 0.5% for major pairs).
How to Avoid Liquidation
- Use lower leverage to give your position more "breathing room".
- Set Stop-Loss orders above your liquidation price (for longs) or below (for shorts).
- Add more margin (collateral) to your account.