Learn/Interactive lab
Interactive lab 04

Liquidation distance meter

Explore how leverage and maintenance margin affect a rough liquidation-price estimate.

Educational estimate
Lower priceEntryHigher price
Est. liquidation
$80,500.00
Distance from entry19.5%
DirectionBelow entry
Simplified estimate$80,500.00

Illustrative estimate only. Actual results depend on venue formulas, fees, funding, slippage, margin mode, and market conditions.

How to read this tool

This simplified estimate is designed to show relationships, not reproduce a venue risk engine. The execution venue’s displayed liquidation price is the operative value.

Read the full guide
Method and limits

Use the distance, not the estimate alone

The meter demonstrates why higher leverage usually brings liquidation closer to entry. A provider’s operative threshold also depends on maintenance margin, valuation price, fees, collateral, size tiers, and other account exposure.12

Different providers use different processes and formulas. Never use this estimate to replace the liquidation price displayed by the selected execution provider.34

Source desk

Sources and methodology

Source 1 / U.S. Commodity Futures Trading Commission / accessed 28 July 2026Futures market risk guidanceSource 2 / U.S. Commodity Futures Trading Commission / accessed 28 July 2026Futures market risk guidanceSource 3 / U.S. Commodity Futures Trading Commission / accessed 28 July 2026Futures market risk guidanceSource 4 / U.S. Commodity Futures Trading Commission / accessed 28 July 2026Crypto Asset Perpetual ContractsSource 5 / Novrinex / accessed 28 July 2026Calculator assumptions and educational methodology
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