🔒 Keep Your Crypto Safe with Ledger

Touchscreen wallet • Works with 15,000+ coins • Never lose your crypto

Crypto Trading Calculator

Calculate profit/loss, margin required, ROI, and commissions for crypto trades. Support for leverage, position sizing, and swap rates.

Calculator
Enter your investment details to calculate potential returns
Form Progress0%

Number of units/lots to trade

Price at which you enter the trade

Price at which you exit the trade

Trading leverage (1x = no leverage)

Trading commission per lot/unit

Overnight holding fee (negative) or interest (positive)

Trading Calculator Basics

Understand key concepts to make informed investment decisions

What is Margin Trading?

Margin trading lets you control larger positions with less capital using leverage. Instead of paying full price, you only need a fraction (margin) as collateral. Example: With 10x leverage, $1,000 margin controls a $10,000 position.

Understanding Leverage

Leverage amplifies both profits and losses. 10x leverage means a 1% price move = 10% gain/loss on your margin. Higher leverage = higher risk. Most professional traders use 2-5x leverage for sustainability.

Position Sizing

Position size determines your total exposure. Trading 1 BTC at $50,000 = $50,000 exposure. With 10x leverage, you only need $5,000 margin, but you're exposed to the full $50,000 of price movement.

Trading Commissions

Every trade costs commission, typically $5-50 per lot depending on broker and asset. These costs reduce net profits. Frequent trading accumulates significant commission expenses. Factor these into every trade plan.

Swap Rates (Overnight Fees)

Holding positions overnight incurs swap/rollover fees. These can be negative (cost) or positive (interest earned). Swap rates vary by broker, asset, and position direction. Long-term holds accumulate significant swap costs.

ROI (Return on Investment)

ROI shows profit/loss as percentage of margin used. A $500 profit on $1,000 margin = 50% ROI. ROI accounts for leverage effect: small price moves create large ROI changes. Always compare ROI to risk taken.

How to Use This Calculator

Understand key concepts to make informed investment decisions

1. Position Size

Enter the number of units/lots you're trading. Example: 0.1 BTC, 5 ETH, or 1000 DOGE. This determines your total exposure to price movements.

2. Entry & Exit Price

Entry = price you buy/sell at. Exit = price you close at. The difference determines your gross profit/loss. Example: Buy BTC at $50,000, sell at $55,000 = $5,000 profit per BTC.

3. Leverage

Select your leverage multiplier (1x to 100x+). Higher leverage = less margin required but more risk.1x = no leverage (spot trading), 10x = 10% margin, 100x = 1% margin.

4. Commission per Lot

Enter your broker's trading commission per unit/lot. Check your broker's fee schedule. Typical range: $0.50-$10 for crypto, $5-$50 for forex/commodities.

5. Swap Rate

Overnight holding cost (negative) or interest (positive). Enter 0 for same-day trades. For multi-day positions, check your broker's swap rates. Can significantly impact profitability.

Understanding Results

You'll see: Net P/L (total profit/loss), Margin Required (capital needed),ROI (return percentage), and Commissions (total costs).

Quick Example:

Trade 1 BTC from $50,000 to $55,000 with 10x leverage, $5 commission, no swap:

• Position: 1 BTC
• Entry: $50,000
• Exit: $55,000
• Leverage: 10x
• Commission: $5

Result: $5,000 margin required, $5,000 gross profit, $4,995 net profit, 99.9% ROI

How the Calculations Work

Understand key concepts to make informed investment decisions

Core Formulas

1. Margin Required

Margin = (Position Size × Entry Price) ÷ Leverage

Example: (1 × $50,000) ÷ 10 = $5,000 margin

2. Profit/Loss

P/L = (Exit Price - Entry Price) × Position Size

Example: ($55,000 - $50,000) × 1 = $5,000 profit

3. Total Commission

Commission = Commission per Lot × Position Size

Example: $5 × 1 = $5 total commission

Final Calculations

4. Net Profit/Loss

Net P/L = Gross P/L - Commission + Swap

Example: $5,000 - $5 + $0 = $4,995 net

5. ROI Percentage

ROI = (Net P/L ÷ Margin Required) × 100

Example: ($4,995 ÷ $5,000) × 100 = 99.9%

6. Leverage Impact

Position Value = Margin × Leverage

Example: $5,000 × 10 = $50,000 controlled

📊 Complete Example:

Trade Setup: 0.5 BTC, Entry $60,000, Exit $62,000, 20x leverage, $10 commission, -$5 swap

• Margin: (0.5 × $60,000) ÷ 20 = $1,500• Gross P/L: ($62,000 - $60,000) × 0.5 = $1,000• Commission: $10 × 0.5 = $5• Net P/L: $1,000 - $5 - $5 = $990• ROI: ($990 ÷ $1,500) × 100 = 66%

Understanding Leverage & Risk

Understand key concepts to make informed investment decisions

⚠️ Leverage Amplifies Losses

10x leverage means a 10% adverse price move = 100% loss of margin (liquidation). 20x leverage? Just 5% against you = total loss. High leverage is the #1 cause of trading account destruction.

⚠️ Liquidation Risk

When losses approach your margin, exchanges automatically close (liquidate) your position. You lose 100% of margin. With 100x leverage, a 1% move liquidates you. Always maintain margin buffer.

⚠️ Emotional Trading

Leverage intensifies emotions. Seeing huge % gains/losses clouds judgment. Traders abandon strategies, chase losses, or take excessive risks. This psychological pressure destroys more accounts than market moves.

⚠️ Commission Impact

Frequent trading with leverage accumulates massive commission costs. $10/trade × 100 trades = $1,000. On small accounts, commissions can consume 20-50% of profits. Quality over quantity.

⚠️ Overnight Risk

Crypto markets never sleep. Holding leveraged positions overnight exposes you to sudden moves while you sleep. Plus, swap fees accumulate. Consider closing positions or using guaranteed stops.

⚠️ Margin Calls

When losses reduce margin below maintenance level, you get margin call to deposit more funds or face liquidation. In volatile crypto markets, this can happen in minutes, giving no time to react.

⚠️ False Confidence

Early wins with leverage create false confidence. "I made 50% in one trade!" leads to larger positions, higher leverage, and eventually catastrophic losses. Success requires consistency, not lucky wins.

⚠️ Stop-Loss Slippage

In volatile markets, stop-losses may execute far from set price (slippage). 10% stop could trigger at 15% loss. With high leverage, this slippage can liquidate your position entirely.

Essential Risk Management

Understand key concepts to make informed investment decisions

Position Sizing Rules

The 1% Rule

Never risk more than 1% of account per trade. $10,000 account = $100 max risk per trade. This protects you from ruin. You can survive 100 consecutive losses at 1% risk. At 10% risk? Only 10 losses destroy you.

Leverage Guidelines

Beginners: 1-2x max. Intermediate: 3-5x. Advanced: 5-10x.Professional day traders rarely exceed 10x. Never use 50-100x leverage - it's gambling, not trading.

Stop-Loss Discipline

Set stop-loss BEFORE entering every trade. Place it at a logical technical level (support/resistance), not arbitrary %. Honor it without exception. Moving stops to avoid losses is the fastest path to ruin.

Trading Psychology

Risk-Reward Ratio

Aim for minimum 2:1 reward-to-risk. Risking $100 to make $200+. This lets you profit even with 50% win rate. Many successful traders have 40% win rate but huge risk-reward ratios. Focus on good setups, not frequency.

Daily Loss Limits

Set maximum daily loss (e.g., 3% of account). If hit, STOP trading for the day. Revenge trading after losses is emotional and destroys accounts. Take breaks, clear your head, come back fresh.

Journal Every Trade

Record entry/exit, reasons, emotions, what worked, what didn't. Review monthly. Patterns emerge: trading best in mornings, losing on Fridays, revenge trading after losses. Data beats intuition.

✅ Professional Risk Management Checklist:

  • Position sizing: Calculate before entering - never guess
  • Stop-loss: Set and honor without exception (1-2% of account)
  • Leverage: Use minimum necessary, never maximum available
  • Risk-reward: Only take trades with 2:1 or better potential
  • Daily limits: Stop trading after hitting max daily loss
  • Journal: Document every trade for continuous improvement

Tax Considerations

Understand key concepts to make informed investment decisions

Important Tax Information:

Crypto trading profits are taxable in most jurisdictions. Each trade, whether profitable or losing, is typically a taxable event. Keep detailed records of all trades including dates, amounts, prices, and associated costs (commissions, swap fees). Tax treatment varies by country and holding period.

Track Everything

  • • Record every trade: entry, exit, P/L, commissions
  • • Note dates and holding periods (short vs long-term)
  • • Use crypto tax software (CoinTracker, Koinly, CoinLedger)
  • • Download exchange CSV exports regularly

Tax Obligations

  • • Profits: Taxed as capital gains or ordinary income
  • • Losses: May offset gains and reduce tax liability
  • • Frequency: Day trading often taxed as ordinary income
  • • International: Tax treaties vary by jurisdiction

Professional Guidance Required

Crypto trading taxation is complex and evolving. Tax authorities worldwide are increasing enforcement. Consult with a crypto-specialized tax professional or CPA to ensure compliance, optimize your tax strategy, and avoid penalties. The cost of professional advice is minimal compared to potential tax liabilities, audits, or fines. Don't rely on internet advice for tax decisions.