Liquidation Price Calculator — Crypto Futures & Leverage

The liquidation price is the price at which your exchange forcibly closes your leveraged position because your losses have consumed your margin. For a long position, this is a price below your entry; for a short position, it is a price above your entry. Once hit, your entire margin for that position is lost.

For a long position: Liquidation Price ≈ Entry Price × (1 − 1/Leverage). For a short position: Liquidation Price ≈ Entry Price × (1 + 1/Leverage). For example, entering a 10x long at $50,000 → Liquidation ≈ $50,000 × (1 − 0.1) = $45,000. The actual price may differ slightly due to the exchange's maintenance margin rate.

Use lower leverage (5x or less for beginners), always set a stop-loss well above your liquidation price, never use more than 1–2% of your account as margin on a single trade, and add margin before the price approaches your liquidation level. Monitoring your margin ratio in real-time on the exchange is essential.

The liquidation price is where the exchange closes your position to prevent further losses — you lose your margin but the exchange absorbs the rest. The bankruptcy price (also called the zero-equity price) is where your losses would equal 100% of your margin. Exchanges liquidate before bankruptcy price to protect themselves, which is why there is a maintenance margin requirement.

To avoid liquidation: (1) Use lower leverage — 2x–5x instead of 50x–100x. (2) Set a stop loss well above your liquidation price. (3) Only use 10–20% of your account as collateral per trade, keeping the rest as buffer. (4) Monitor funding rates — high negative funding can drain margin. (5) Use this calculator to know your exact liquidation price before entering any leveraged position.