Liquidation Calculator Guide: Step-by-Step for Crypto Futures
Calculating your liquidation price correctly is critical for protecting your positions in crypto futures. This guide explains how to use a liquidation calculator with real trade examples.
What is a Liquidation Calculator?
A liquidation calculator determines at what price your position will be forcibly closed based on your entry price, leverage, and position direction. This information is essential for setting stop losses and building your risk management strategy.
How to Calculate Liquidation Price
Enter Entry Price
Input the price at which you opened your position.
Select Leverage
Choose your leverage level: 5x, 10x, 25x, etc.
Set Position Direction
Select whether you are Long or Short.
Calculate
The calculator automatically shows your liquidation price.
Real Example: BTC Long Position
In this example, if BTC falls below $40,950, your position will be liquidated.
Liquidation Calculation Tips
- ✓Always set stop loss before the liquidation price
- ✓Higher leverage = closer liquidation price
- ✓If using cross margin, your entire balance is at risk
- ✓High funding rates can erode your margin
Bybit vs Binance Liquidation Differences
Each exchange has slightly different maintenance margin rates. Bybit typically uses 0.5% MMR, Binance is similar. Always verify with the exchange's own calculator.
Calculate Your Liquidation Price