Crypto Position Size Calculator
Calculate the correct position size based on your account size, risk percentage, entry price, and stop-loss price.
How to use this tool
- Enter your total account value in dollars.
- Set the percentage of your account you are willing to risk (1–2% is typical).
- Enter your planned entry price and stop-loss price.
- Read the position size in units and the total position value.
Use this calculator to size your crypto positions so you never risk more than a set percentage of your account on a single trade. Not financial advice.
Formula
Risk amount ($) = account × risk% ÷ 100
Position size (units) = risk_amount ÷ |entry − stop|
Position value ($) = position_size × entry
How it works
This calculator implements the fixed-fractional position sizing method: you define the maximum dollar loss you will accept (a percentage of total account equity), then divide that by the per-unit risk — the absolute distance between your entry price and stop-loss price. The result is the exact number of units (coins, shares, or contracts) to buy so that if stopped out, your loss equals precisely your risk amount.
This approach keeps risk consistent across trades regardless of price level or volatility. It assumes your stop-loss order is filled exactly at the specified price; slippage in fast markets can cause actual losses to exceed the calculated risk amount.
Worked example
Worked example
- Risk amount = $10,000 × 1% = $100.
- Per-unit risk = |$50,000 − $48,000| = $2,000 per coin.
- Position size = $100 ÷ $2,000 = 0.05 BTC.
- Position value = 0.05 × $50,000 = $2,500.
Risk amount: $100; Position size: 0.05 units; Position value: $2,500
Key terms
- Fixed-fractional sizing
- A position sizing method where you risk a fixed percentage of account equity on each trade, so position sizes grow with winners and shrink with losers automatically.
- Stop-loss
- A pre-set price at which a trade is closed to cap losses. The distance between entry and stop-loss defines per-unit risk.
- Risk per trade
- The maximum dollar amount you are willing to lose on a single trade. Professional traders typically risk 0.5–2% of account equity per trade.
- Slippage
- The difference between an expected order fill price and the actual execution price, often caused by low liquidity or fast-moving markets. It can make actual losses larger than planned.
- Leverage
- Borrowing capital to control a position larger than account equity. While it amplifies gains, it also amplifies losses and can cause a position to be liquidated before the stop-loss is reached.
Frequently asked questions
- What is position sizing?
- Position sizing determines how many units of an asset to buy or sell. By linking size to a fixed risk percentage, you limit your maximum loss on any single trade to that fraction of your account.
- Why use 1–2% risk per trade?
- Keeping risk at 1–2% per trade means you would need a long losing streak before significant drawdown. Even 20 consecutive losses at 1% risk leaves you with about 82% of your account intact.
- Does this work for short trades?
- Yes — for a short, your stop-loss price will be above your entry. The calculator uses the absolute price difference, so it handles both long and short positions correctly.