Crypto Liquidation Price Calculator

Calculate your liquidation price for a leveraged cryptocurrency position. Works for long and short positions on isolated-margin accounts (Binance, Bybit, OKX).

Must be greater than 1. Higher leverage = liquidation price closer to entry.

Set by the exchange. Binance perpetuals: typically 0.5% for BTC/ETH. Check your contract's maintenance margin rate.

Formula

Isolated margin liquidation formula

Long Entry × (1 − 1/Leverage + MMR%)
Short Entry × (1 + 1/Leverage − MMR%)
Initial Margin 1/Leverage × 100 (%)

MMR = Maintenance Margin Rate as decimal. Isolated margin only. Does not model: cross margin, liquidation fees, funding rate erosion, or ADL events. Documented form from Binance/Bybit/OKX. Actual exchange liq price may differ slightly.

Worked Example

Given

Long BTC · Entry $50,000 · Leverage 10× · Maintenance margin 0.5%

Initial Margin Rate
1/10 = 10%
Liquidation Price (long)
$50,000 × (1 − 0.1 + 0.005) = $50,000 × 0.905
= Liquidation
$45,250
Distance to Liq
($50,000 − $45,250) ÷ $50,000 = 9.5%

Frequently Asked Questions

What is the liquidation price?
The liquidation price is the price at which your exchange will automatically close your position to prevent your losses from exceeding your margin. For a long position, if the market price falls to the liquidation level, your position is closed and your margin deposit is consumed (minus any liquidation fee). For a short, liquidation occurs if the price rises to that level.
What formula does this calculator use?
This uses the simplified isolated-margin liquidation formula documented by Binance, Bybit, and OKX: Long liquidation price = Entry × (1 − 1/Leverage + Maintenance Margin Rate). Short liquidation price = Entry × (1 + 1/Leverage − Maintenance Margin Rate). This formula differs from the exact formula by less than 0.1% at typical maintenance margin rates.
What does this calculator NOT model?
This calculator is for isolated margin only — cross-margin uses different calculations because multiple positions share a single margin pool. Liquidation fees (typically 0.5%–1.5% of position value), funding rate erosion (perpetual swap funding), and ADL (auto-deleveraging) events are not included. The actual liquidation price on your exchange may differ slightly.
Where do I find the maintenance margin rate for my contract?
Check your exchange's trading rules page for the specific contract. On Binance: Contract Details → Maintenance Margin Rate. For BTC perpetuals on Binance, the rate is typically 0.5% for positions under $50,000 notional. Higher notional sizes have higher rates (tiered margin). Always use the rate for your actual position tier.
How far should my stop loss be from my liquidation price?
Set your stop loss well above your liquidation price (for longs). Liquidation fees and funding rate erosion can bring the actual liquidation point higher than the calculated price. A common rule is to keep your stop at least 50% of the initial margin buffer away from the liquidation price — i.e. if your margin buffer is $1,000, stop should be no closer than $500 above liquidation.