Liquidation price calculator
The price at which the exchange closes your position because the margin no longer covers the loss. Work it out before you open the trade — not while it is moving.
Liquidation price
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- Initial margin required
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- Maintenance margin
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- Position quantity
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- Loss at liquidation
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- Move required to liquidate
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The formula
For a long position:
liquidation = entry × (1 − 1/leverage + maintenance margin rate) − extra margin / quantity
And for a short, the sign flips:
liquidation = entry × (1 + 1/leverage − maintenance margin rate) + extra margin / quantity
In words: your position can lose your initial margin minus what the exchange keeps back as maintenance margin before it gets closed. Higher leverage means less margin, which means the liquidation price sits closer to entry.
What this calculator assumes
- Isolated margin, one position. Under cross margin your whole account balance backs the position, so the real liquidation price sits further away — add your free balance in the “extra margin” field to approximate it.
- No funding paid yet. On a perpetual, funding payments are deducted from margin over time, which pulls the liquidation price gradually closer.
- Fees excluded. Opening and closing fees reduce margin slightly.
- Mark price, not last price. Exchanges liquidate on a mark price derived from an index, specifically so a single-venue wick cannot trigger it. Your exchange may liquidate at a marginally different level.
Liquidation is not the worst case. In fast markets a position can close below the
liquidation price, and on some venues the loss then exceeds your margin. Sizing the trade so that
the stop matters more than the liquidation level is the point of the
position size calculator.