💡 Pro Tip: Professional traders typically risk no more than 1-2% of their account on a single trade. This calculator helps you determine the precise position size to maintain consistent risk across all trades.
How Position Sizing Works
Position sizing is one of the most important aspects of risk management in cryptocurrency trading.
By calculating the optimal trade size based on your account balance and risk tolerance, you ensure
that no single trade can significantly damage your portfolio. Key concepts:
- Risk Per Trade: The percentage of your account you're willing to lose on one trade
- Stop-Loss Distance: The difference between entry price and stop-loss price
- Leverage: Multiplies your position size, increasing both potential gains and losses
- Margin: The collateral required to open a leveraged position