Liquidation price calculator

How the liquidation price is calculated

On a USDT-margined perpetual with isolated margin, the position is liquidated when your losses eat the margin down to the maintenance margin. Ignoring fees and funding, the price where that happens is:

• Long: liquidation price = entry × (1 − 1/leverage + maintenance margin rate)
• Short: liquidation price = entry × (1 + 1/leverage − maintenance margin rate)

Example: a 10× long on BTC at $60,000 with a 0.5% maintenance margin is liquidated at 60,000 × (1 − 0.1 + 0.005) = $54,300, a 9.5% drop. At 50× the same trade is liquidated after a move of just 1.5%.

Why your exchange may show a different number

• Fees and funding are taken from margin, so the real liquidation price creeps closer over time.
• Tiered maintenance margin: large positions use a higher rate.
• Cross margin uses your whole balance, so the liquidation price moves further away.
• Mark price: liquidation is triggered by the mark price, not the last trade. See why exchanges liquidate the same position at different prices.

Questions

What is a liquidation price in crypto?

The price at which the exchange force-closes a leveraged position because the remaining margin has fallen to the maintenance margin. You lose the margin you put up for that position.

How do I avoid liquidation?

Use lower leverage, add margin, or place a stop-loss well before the liquidation price. With 10× leverage, a 10% move against you is enough to lose the whole margin.

Is the liquidation price the same on every exchange?

No. Exchanges use different maintenance margin tiers, mark price formulas and fee rules, so the same position can be liquidated at slightly different prices.