Crypto Position Size Calculator

Position sizing is the single most important skill in crypto trading. Get it wrong and one bad trade can wipe your account. Get it right and you can survive hundreds of losing trades.

Contents

What is position sizing?The formula Step-by-step example The 1–2% rule Common mistakes FAQ

What is position sizing?

Position sizing determines how many units of an asset to buy or sell on a given trade. Most beginners skip this step entirely — they deposit $1,000 and just buy "a bit" of Bitcoin. This is one of the fastest ways to blow up an account.

Professional traders start with risk — how much am I willing to lose? — and work backwards to find the correct position size.

The position size formula

Formula

Position Size = (Balance × Risk%) ÷ (Entry − Stop Loss)
Quantity = Position Size ÷ Entry Price

Risk% is typically 1–2% of your total account balance per trade.

Calculate your position size

Use our free calculator — instant results, no sign-up needed.

Open Calculator →

Step-by-step example

Example — BTC Long Trade

Account balance$10,000

Risk per trade1% = $100

Entry price$65,000

Stop loss$63,700

SL distance$1,300 (2%)

Position size$5,000

Quantity (BTC)0.0769 BTC

Max loss if SL hits−$100

Even though the position is $5,000, the actual risk is only $100 — because the stop loss is just 2% away from entry.

The 1–2% rule explained

If you risk 2% per trade, you need to lose 50 trades in a row to lose your entire account. No real strategy loses 50 in a row. This rule keeps you in the game long enough for your edge to play out.

Pro tip: Most professional crypto traders use 0.5–1% risk per trade. It feels small, but it allows you to trade for years without blowing up.

Warning: Risking more than 3% per trade is aggressive. At 5% risk, just 20 consecutive losses wipe your account.

Common mistakes

Fixed lot sizes — buying "0.1 BTC every time" ignores that your SL distance changes with every trade.
No stop loss — position size without a defined stop loss is gambling.
Revenge trading — increasing size after a loss to "make it back" causes most blow-ups.
Ignoring fees — 0.1% each way on Bybit/OKX adds up. Factor it into break-even.
Overleveraging — 10x leverage with a 2% stop means your real risk is 20%.

FAQ

What is a good position size for crypto? +

For most traders, 1–2% risk per trade is sustainable. New traders should start at 0.5–1%. The goal is to stay in the game long enough to develop your edge.

How do I calculate without a stop loss? +

You can't calculate risk-controlled position size without a stop loss. A simple alternative: never allocate more than 5–10% of your portfolio to a single asset.

Does position size change with leverage? +

The formula gives you nominal position size. With 5x leverage you post 20% as margin. Your real dollar risk stays the same regardless of leverage level.

Should I use the same size for all trades? +

Use a fixed risk % (e.g. always 1%), but let the actual position size vary with each trade's stop loss distance. Our calculator does this automatically.