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Crypto Leverage Liquidation Calculator

At what price does my leveraged position get liquidated?

How it is calculated

The tool uses the simple isolated-margin model. With initial margin rate IMR = 1 ÷ leverage and maintenance margin rate MMR = mmr ÷ 100: for a long, liquidation = entry × (1 − IMR + MMR) and bankruptcy = entry × (1 − IMR). For a short the signs flip: liquidation = entry × (1 + IMR − MMR) and bankruptcy = entry × (1 + IMR). The distance is |liquidation − entry| ÷ entry × 100. Leverage must be at least 1, and the initial margin rate must be larger than the maintenance rate, which is why very high leverage such as 200× with a 0.5 % maintenance rate gives no result. Anything other than short is treated as long. Funding payments, trading fees, cross-margin and tiered maintenance rates are not included, so an exchange's own figure can differ.

Worked example

You open a long at an entry price of $60,000 with 10× leverage and a 0.5 % maintenance margin. IMR = 1 ÷ 10 = 0.10 and MMR = 0.005. Liquidation: 60,000 × (1 − 0.10 + 0.005) = 60,000 × 0.905 = $54,300.00. Bankruptcy price: 60,000 × 0.90 = $54,000.00. Distance to liquidation: (60,000 − 54,300) ÷ 60,000 = 9.50 %. A drop of a little under 10 % ends the position. The same trade as a short would be liquidated at $65,700.00.

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Common mistakes

  • Choosing the wrong side. A long is liquidated below the entry price and a short above it, so entering short for a long position shows the wrong number.
  • Entering the maintenance margin as a decimal. A 0.5 % rate is typed as 0.5, not 0.005; 0.005 would be read as 0.005 %.
  • Assuming the displayed liquidation price matches the exchange exactly. Real platforms add fees, funding and tiered maintenance rates that depend on position size, so use this as an estimate and check the exchange's figure.
  • Thinking the bankruptcy price is where you get liquidated. Liquidation happens earlier, at the liquidation price, because the exchange closes the position while maintenance margin remains.
  • Entering the price move as the distance. The distance shown is measured from your entry price, so a reading of 9.5 % means a 9.5 % adverse move, not 9.5 % of your margin.

About this calculator

Trading crypto with leverage means borrowing capital to open a position larger than your actual margin, and the liquidation price is the mark price at which your position's losses have eaten through your posted margin to the point the exchange force-closes it to prevent your account from going negative. The liquidation price sits closer to your entry than the bankruptcy price (the theoretical price at which margin hits exactly zero) by a maintenance-margin buffer — above it on longs, below it on shorts — and it depends directly on leverage: higher leverage places the liquidation price much closer to your entry price, since a smaller adverse move consumes a thinner margin cushion.

Leveraged traders on perpetual futures and margin exchanges — Binance, Bybit, and similar platforms — calculate liquidation price and its distance from the entry price before and during a trade to size positions responsibly, to know exactly how much adverse price movement they can absorb, and to decide whether to add margin or reduce leverage as a position moves against them. It's one of the most consulted numbers in leveraged trading, since getting liquidated wipes out the position's margin regardless of whether the market later recovers.

This calculator takes your entry price, leverage, position side (long or short) and maintenance margin rate, and returns your liquidation price, bankruptcy price and percentage distance to liquidation. Leveraged trading carries a high risk of loss: liquidation can take the whole margin, and in fast markets or with cross margin losses can exceed it.

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