Liquidation Price Calculator
Estimate a threshold for one isolated linear position. Fixed maintenance rate, no fees or extra collateral. Results use your input quote currency.
Enter all four numeric inputs to calculate; blank inputs have no estimate.
Model limits: Linear payoff, isolated collateral equal to entry notional / leverage, and maintenance equal to a fixed rate × current notional. No fees, funding, extra margin, tier deductions or other positions. A threshold is not an execution-price guarantee. Check the venue risk display.
The model behind this estimate
Let E be entry price, Q underlying units, L leverage and m the maintenance rate as a decimal. Initial collateral is EQ/L. At price P, long equity is EQ/L + Q(P − E); short equity is EQ/L + Q(E − P). This calculator solves equity = mQP.
- Long: P = E × (1 − 1/L) / (1 − m)
- Short: P = E × (1 + 1/L) / (1 + m)
The division by 1 − m or 1 + m matters because maintenance changes with current notional. An entry-notional maintenance model gives a different answer. These equations match the zero-extra-margin, zero-deduction simplification of the linear isolated formulas in the linked Bybit documentation; this is not a reproduction of its full risk engine.
Use the inputs consistently
- Choose long or short and enter a positive entry price in the quote currency.
- Enter underlying units. Convert contract count using its multiplier first; inverse contracts are outside this model.
- Enter leverage of at least 1 and the applicable fixed maintenance percentage. Presets are examples, not venue defaults.
- Confirm initial collateral exceeds maintenance at entry. Otherwise the calculator reports no adverse-price buffer instead of displaying a misleading threshold.
A worked example
For entry 100, size 2, leverage 10 and maintenance 0.5%, entry notional is 200 and initial collateral is 20. The long threshold is 90.4523, a 9.5477% decline; the short threshold is 109.4527, a 9.4527% rise. Values are hypothetical and exclude costs. A 1× long reaches zero in this simplified model; that is a model boundary, not a venue liquidation prediction.
Interpret the threshold, not a promise of safety
A long loses equity as price falls; a short loses equity as price rises. Distance measures the adverse move from entry, not the probability of liquidation. More collateral or lower leverage can increase a modeled buffer, but this tool has no extra-margin input and does not model account-wide changes.
Real venues may use mark prices, changing tiers, partial liquidation, fee reserves and different collateral rules. A stop based on last trade can trigger differently from a mark-price liquidation threshold; execution can slip. Stock margin accounts, forex stop-outs, inverse contracts and cross/portfolio margin require their own rules.
Sources
- Bybit: liquidation process and isolated contract formulas
- Bybit: entry-price and mark-price margin models
Frequently Asked Questions
What does this calculator estimate?
A simplified liquidation threshold for one isolated, linear position. Initial collateral equals entry notional divided by leverage; maintenance margin is a fixed fraction of current notional. It excludes fees, funding, tier deductions, extra collateral and other positions.
Is the result an exchange liquidation quote?
No. Compare the assumptions with your venue and use its own position risk display. Inverse contracts, cross margin, portfolio margin, stock margin accounts and forex stop-out rules need different models.
Which price triggers liquidation?
The trigger depends on the venue and contract. Bybit isolated derivatives use mark price, which can differ from the last traded price on a chart. The trigger is not a guaranteed execution price.
Why does size not change the threshold here?
Both collateral and maintenance scale with size, so size cancels out of this fixed-rate model. It still changes the notional and collateral amounts. Real risk tiers can make size affect the required margin rate.
Do stops or isolated margin guarantee protection?
No. Stops can slip or fail to execute as expected during gaps or illiquidity. Isolated allocation and loss treatment depend on the venue; this calculator does not place orders or model insurance, liquidation fees or account liabilities.
Test Strategy Rules Separately
Pineify helps build Pine Script indicators and strategies for TradingView. Strategy tests do not reproduce your exchange liquidation engine or guarantee stop execution. This calculator does not place orders.